AN ACT relating to tort claims; allowing the risk
management division of the department of administration and the attorney
general to assess counties for certain tort claims under certain circumstances;
and providing other matters properly relating thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1.NRS 331.187 is hereby amended to
read as follows:

331.187 1. There is created in the state treasury the
fund for insurance premiums as an internal service fund to be maintained for
use by the risk management division of the department of administration and the
attorney general.

2. Each state agency shall deposit in the fund:

(a) An amount equal to its insurance premium and other charges
for potential liability, self-insured claims, other than self-insured tort
claims, and administrative expenses, as determined by the risk management
division; and

(b) An amount for self-insured tort claims and expenses
related to those claims, as determined by the attorney general.

3. Each county shall deposit in the fund an
assessment for the employees of the district court of that county, excluding
district judges, unless the county enters into a written agreement with the
attorney general to:

(a) Hold the State of Nevada harmless and assume
liability and costs of defense for the employees of the district court;

(b) Reimburse the State of Nevada for any liability and
costs of defense that the State of Nevada incurs for the employees of the district
court; or

(c) Include the employees of the district court under
the countys own insurance or other coverage.

4. Expenditures
from the fund must be made by the risk management division or the attorney
general to an insurer for premiums of state agencies as they become due or for
deductibles, self-insured property and tort claims or claims pursuant to NRS
41.0349. If the money in the fund is insufficient to pay a tort claim, it must
be paid from the reserve for statutory contingency account.

5. As used in this section,
assessment means an amount determined by the risk management division and the
attorney general to be equal to the share of a county for:

(a) Applicable insurance premiums;

(b) Other charges for potential liability and tort
claims; and

(c) Expenses
related to tort claims.

Sec. 2. This act becomes effective on July 1, 2001.

________

κ2001
Statutes of Nevada, Page 2340κ

CHAPTER 458, SB 33

Senate
Bill No. 33Committee on Judiciary

CHAPTER 458

AN ACT relating to probate; providing for the use of
electronic wills and electronic trusts; providing for a declaration of
attesting witnesses to a will; revising provisions governing the appeal of a
contest of a will; revising provisions governing the summary administration of
an estate; providing for the application of certain provisions governing
estates to provisions governing trusts; revising various other provisions
governing probate; and providing other matters properly relating thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1.Chapter 132 of NRS is hereby amended by adding thereto the provisions
set forth as sections 2 to 6, inclusive, of this act.

Sec. 2.As used in this Title, unless the
context otherwise requires, when the term writing or written is used in
reference to a will, the term includes an electronic will.

Sec. 4. Electronic signature means an electronic sound, symbol or
process attached to or logically associated with a record and executed or
adopted by a person with the intent to sign the record.

Sec. 5.Electronic will means a testamentary
document that complies with the requirements of section 9 of this act.

Sec. 6.Record means information that is
inscribed on a tangible medium, or that is stored in an electronic medium and
is retrievable in perceivable form.

Sec. 7. NRS 132.025
is hereby amended to read as follows:

132.025 As used in this Title, unless the context
otherwise requires, the words and terms defined in NRS 132.030 to 132.370,
inclusive, and sections 3 to 6,
inclusive, of this act, have the meanings ascribed to them in
those sections.

Sec. 8. NRS 132.070 is hereby amended to
read as follows:

132.070 Codicil means an addition to a will that may
modify or revoke one or more provisions of the will, or add one or more
provisions to the will, and is signed with the same formalities as a witnessed will, electronic will or
holographic will.

Sec. 9. Chapter
133 of NRS is hereby amended by adding thereto a new section to read as
follows:

1. An electronic will is a will of a
testator that:

(a) Is written, created and stored in an electronic
record;

(b) Contains the date and the electronic signature of
the testator and which includes, without limitation, at least one
authentication characteristic of the testator; and

(c) Is created and stored in such a manner that:

(1) Only one authoritative copy exists;

(2) The authoritative copy is maintained and
controlled by the testator or a custodian designated by the testator in the
electronic will;

(3) Any attempted alteration of the authoritative
copy is readily identifiable; and

(4) Each copy of the authoritative copy is readily
identifiable as a copy that is not the authoritative copy.

2. Every person of sound mind over the age of 18 years
may, by last electronic will, dispose of all of his estate, real and personal,
but the estate is chargeable with the payment of the testators debts.

3. An electronic will that meets the requirements of
this section is subject to no other form, and may be made in or out of this
state. An electronic will is valid and has the same force and effect as if
formally executed.

4. An electronic will shall be deemed to be executed in
this state if the authoritative copy of the electronic will is:

(a) Transmitted to and maintained by a custodian
designated in the electronic will at his place of business in this state or at
his residence in this state; or

(b) Maintained by the testator at his place of business
in this state or at his residence in this state.

5. The
provisions of this section do not apply to a trust other than a trust contained
in an electronic will.

6. As used
in this section:

(a) Authentication
characteristic means a characteristic of a certain person that is unique to
that person and that is capable of measurement and recognition in an electronic
record as a biological aspect of or physical act performed by that person. Such
a characteristic may consist of a fingerprint, a retinal scan, voice
recognition, facial recognition, a digitized signature or other authentication
using a unique characteristic of the person.

(b) Authoritative
copy means the original, unique, identifiable and unalterable electronic
record of an electronic will.

(c) Digitized
signature means a graphical image of a handwritten signature that is created,
generated or stored by electronic means.

Sec. 10. NRS
133.040 is hereby amended to read as follows:

133.040 No will executed in this state, except such electronic wills or holographic
wills as are mentioned in this chapter, is valid unless it is in writing and
signed by the testator, or by an attending person at the testators express
direction, and attested by at least two competent witnesses who subscribe their
names to the will in the presence of the testator.

Sec. 11. NRS 133.045 is hereby amended to
read as follows:

133.045 1. Whether or not the provisions relating to electronic wills and holographic
wills apply, a will may refer to a written statement or list , including, without limitation, a
written statement or list contained in an electronic record, to
dispose of items of tangible personal property not otherwise specifically
disposed of by the will, other than money, evidences of indebtedness, documents
of title, securities and property used in a trade or business.

2. To be admissible as evidence of the intended
disposition, the statement or list must contain:

(d) A reasonably certain description of the items to be
disposed of and the names of the devisees.

(e) The testators handwritten signature [.] or electronic signature.

3. The statement or list may be:

(a) Referred to as a writing to be in existence at the
time of the testators death.

(b) Prepared before or after the execution of the will.

(c) Altered by the testator after its preparation.

(d) A writing which has no significance apart from its effect
upon the dispositions made by the will.

Sec. 12. NRS 133.050 is hereby amended to read
as follows:

133.050 1. Any [or all of the attesting
witnesses to any]attesting witness to a will may sign a declaration under penalty of perjury
or an affidavit before any person authorized to administer oaths
in or out of the state, stating such facts as [they]the witness would be
required to testify to in court to prove the will. The declaration or affidavit must be written on
the will or, if that is impracticable, on some paper attached thereto. The
sworn statement of any witness so taken must be accepted by the court as if it
had been taken before the court.

2. The affidavit described in subsection 1 may be in substantially [in
form as follows:] the following form:

State of Nevada }

}ss.

County of ............................... }

(Date)
.........................................

Then and there personally appeared ................ and
................., who, being duly sworn, depose and say: That they witnessed
the execution of the foregoing will of the testator, ................; that the
testator subscribed the will and declared it to be his last will and testament
in their presence; that they thereafter subscribed the will as witnesses in the
presence of the testator and in the presence of each other and at the request
of the testator; and that the testator at the time of the execution of the will
appeared to them to be of full age and of sound mind and memory.

Affiant

Affiant

Subscribed and sworn to before me this .......

day of the month of ....... of the year .......

....................................... Notary Public

3. The
declaration described in subsection 1 may be in substantially the following
form:

Under penalty of
perjury pursuant to the law of the State of Nevada, the undersigned,
.................... and ...................., declare that the following is
true of their own knowledge: That they witnessed the execution of the foregoing
will of the testator, ........................; that the testator subscribed
the will and declared it to be his last will and testament in their presence;
that they thereafter subscribed the will as witnesses in the presence of the
testator and in the presence of each other and at the request of the testator; and that the testator at the time of the execution of the will
appeared to them to be of full age and of sound mind and memory.

and that the testator
at the time of the execution of the will appeared to them to be of full age and
of sound mind and memory.

Dated this
......... day of ................, ............

Declarant

Declarant

Sec. 13. NRS 133.080 is hereby amended to
read as follows:

133.080 1. If in writing and subscribed by the
testator, a last will and testament executed outside this state in the manner
prescribed by the law, either of the state where executed or of the testators
domicile, shall be deemed to be legally executed, and is of the same force and
effect as if executed in the manner prescribed by the law of this state.

2. This section must be so interpreted and construed as
to effectuate its general purpose to make uniform the law of those states which
enact it.

3. As used in
this section, subscribed includes, without limitation, placing an electronic
signature on an electronic will.

Sec. 14. NRS 134.070 is hereby amended to read
as follows:

134.070 If the decedent leaves no issue, surviving
spouse, or father or mother, and no brother or sister living at the time of
death, the estate goes to the next of kin in equal degree, except that if there
are two or more collateral kindred in equal degree, but claiming through
different ancestors, those who claim through the nearest ancestors are
preferred to those who claim through ancestors more remote. [If
any person dies leaving several children, or leaving a child and issue of one
or more children, and any such surviving child dies under age and not having
been married, all the estate that came to the deceased child by inheritance
from the deceased parent descends in equal shares to the other children of the
same parent, and to the issue of any other children who may have died, by right
of representation.]

Sec. 15. NRS 134.080
is hereby amended to read as follows:

134.080 1. At
the death of a child who is under age , who is without issue and who has not been married,
all the other children of the parent being also dead, if any of the other
children left issue, the estate that came to the child by inheritance from the
parent descends to all the issue of the other children of the same parent, and
if all the issue are in the same degree of kindred to the child , they are entitled to
share the estate equally; otherwise, they are entitled to take according to the
right of representation.

2. If any person
dies leaving several children, or leaving a child and issue of one or more
children, and any such surviving child dies under age, without issue and not
having been married, all the estate that came to the deceased child by
inheritance from the deceased parent descends in equal shares to the other
children of the same parent, and to the issue of any other children of the same
parent who may have died, by right of representation.

Sec. 16. Chapter
136 of NRS is hereby amended by adding thereto a new section to read as
follows:

An electronic
will may be proved by authentication satisfactory to the court.

Sec. 17. NRS 137.140 is hereby amended to read
as follows:

137.140 An appeal from a final order determining the
contest of a will is governed by the Nevada Rules of Appellate Procedure [.] , and the notice of appeal must be
filed with the clerk of the district court not later than 30 days after the
date of service of written notice of entry of a final order. A party may make any motion after the determination that is
provided by the Nevada Rules of Civil Procedure.

party may make any motion after the determination that is
provided by the Nevada Rules of Civil Procedure.

Sec. 18. NRS 139.010 is hereby amended to read
as follows:

139.010 No person is entitled to letters of
administration who:

1. Is under the age of majority;

2. Has been convicted of a felony;

3. Upon proof, is adjudged by the court disqualified by
reason of conflict of interest, drunkenness,
improvidence or lack of integrity or understanding; or

4. Is not a resident of the State of Nevada and who does not associate as
coadministrator a resident of the State of Nevada or which, in
the case of a banking corporation, is not authorized to do business in this
state [or]and does not associate as coadministrator a resident of the State of Nevada or
a banking corporation authorized to do business in this state.

Sec. 19. NRS 139.040 is hereby amended to read
as follows:

139.040 1. Administration of the intestate estate of a
decedent must be granted to one or more of the persons mentioned in this
section, and they are respectively entitled to priority for appointment in the
following order:

(a) The surviving spouse.

(b) The children.

(c) The father or the mother.

(d) The brother or the sister.

(e) The grandchildren.

(f) Any other of the kindred entitled to share in the
distribution of the estate.

(g) [Creditors who have become such during the lifetime of the
decedent.

(h)]
The public administrator.

(h) Creditors
who have become such during the lifetime of the decedent.

(i) Any of the kindred not above enumerated, within the
fourth degree of consanguinity.

(j) Any person or persons legally qualified.

2. A person in each of the foregoing classes is
entitled:

(a) To appointment, if [he is a]the person is:

(1) A resident
of the State of Nevada or [is a]associates as coadministrator a resident of the State of
Nevada; or

(2) A banking
corporation which is authorized to do business in this state or which
associates as coadministrator a
resident of the State of Nevada or a banking corporation
authorized to do business in this state.

(b) To nominate a resident of the State of Nevada or a
qualified banking corporation for appointment, whether or not the nominator is
a resident of the State of Nevada or a qualified banking corporation. The
nominee has the same priority as the nominator. That priority is independent of
the residence or corporate qualification of the nominator.

3. If any
heir who is otherwise entitled to appointment is a minor or an incompetent
person for whom a guardian has been appointed, the court may appoint the
guardian of the minor or incompetent person as administrator.

Sec. 20. NRS 143.037 is hereby amended to read
as follows:

143.037 1. Except as otherwise provided in this
section, a personal representative shall close an estate within 18 months after
appointment.

2. If a claim against the estate is in litigation or in
summary determination pursuant to subsection [4]5 of NRS 145.060 or
subsection 2 of NRS 147.130 or the amount of federal
estate tax has not been determined, the court, upon petition of a devisee,
creditor or heir, shall order that:

of NRS 147.130 or the amount of federal estate tax has not
been determined, the court, upon petition of a devisee, creditor or heir, shall
order that:

(a) A certain amount of money, or certain other assets,
be retained by the personal representative to:

(1) Satisfy the claim or tax; and

(2) Pay any fees or costs related to the claim or
tax, including fees for appraisals, attorneys fees and court costs; and

(b) The remainder of the estate be distributed.

3. If a contest of the will or a proceeding to determine
heirship is pending, the court which appointed the personal representative:

(a) Shall order that a certain amount of money, or
certain other assets, be retained and the remainder of the estate distributed;
or

(b) May, for good cause shown, order that the entire
distributable estate be retained pending disposition of the contest or
proceeding.

Sec. 21. NRS 143.170 is hereby amended to read
as follows:

143.170 [A]Unless approved in advance by a court after application,
notice and a hearing on the matter, a personal representative
shall not directly or indirectly purchase any property of the estate
represented by the personal representative.

Sec. 22. NRS 145.010 is hereby amended to read
as follows:

145.010 The provisions of this chapter [shall]
apply only to estates of which summary administration [shall be]is ordered. Upon the granting of summary
administration, all regular proceedings and further notices required by this
Title are waived, except for the notices required by NRS 144.010, 145.060,
145.070 and 145.075.

Sec. 23. NRS 145.060 is hereby amended to read
as follows:

145.060 1. A
personal representative shall publish and mail notice to creditors in the
manner provided in NRS 155.020.

2. Creditors
of the estate must file their claims, due or to become due, with the clerk,
within 60 days after the mailing to the creditors for those required to be
mailed, or 60 days after the first publication of the notice to creditors
pursuant to NRS 155.020, and within 10 days thereafter the personal
representative shall allow or reject the claims filed.

[2.]3. Any claim which is not filed within the 60
days is barred forever, except that if it is made to appear, by the affidavit
of the claimant or by other proof to the satisfaction of the court, that the
claimant did not have notice as provided in NRS 155.020, the claim may be filed
at any time before the filing of the final account.

[3.]4. Every claim which is filed as provided in
this section and allowed by the personal representative, must then, and not
until then, be ranked as an acknowledged debt of the estate and be paid in the
course of administration, except that payment of small debts in advance may be
made pursuant to subsection 3 of NRS 150.230.

[4.]5. If a claim filed by the welfare division
of the department of human resources is rejected by the personal
representative, the state welfare administrator may, within 20 days after
receipt of the written notice of rejection, petition the court for summary
determination of the claim. A petition for summary determination must be filed
with the clerk, who shall set the petition for hearing, and the petitioner
shall give notice for the period and in the manner required by NRS 155.010.
Allowance of the claim by the court is sufficient evidence of its correctness,
and it must be paid as if previously allowed by the personal representative.

146.080 1. If a decedent leaves no real property, nor
interest therein, nor mortgage or lien thereon, in this state, and the gross
value of the decedents property in this state, over and above any amounts due
to the decedent for services in the Armed Forces of the United States, does not
exceed $20,000, a person who has a right to succeed to the property of the
decedent [under]pursuant to the laws of succession for a
decedent who died intestate or [under]pursuant to the valid will of a decedent who
died testate, on behalf of all persons entitled to succeed to the property
claimed, or the state welfare administrator or public administrator on behalf
of the state or others entitled to the property, may, 40 days after the death
of the decedent, without procuring letters of administration or awaiting the
probate of the will, collect any money due the decedent, receive the property
of the decedent, and have any evidences of interest, indebtedness or right
transferred to the claimant upon furnishing the person, representative,
corporation, officer or body owing the money, having custody of the property or
acting as registrar or transfer agent of the evidences of interest,
indebtedness or right, with an affidavit showing the right of the affiant or
affiants to receive the money or property or to have the evidence transferred.

2. An affidavit made pursuant to this section must
state:

(a) The affiants name and address, and that the affiant
is entitled by law to succeed to the property claimed;

(b) [That the decedent was a resident of Nevada at the time of
death;] The
date and place of death of the decedent;

(c) That the gross value of the decedents property in
this state, except amounts due to the decedent for services in the Armed Forces
of the United States, does not exceed $20,000, and that the property does not
include any real property nor interest therein, nor mortgage or lien thereon;

(d) That at least 40 days have elapsed since the death of
the decedent[;] , as shown in a certified copy of the
certificate of death of the decedent attached to the affidavit;

(e) That no petition for the appointment of a personal
representative is pending or has been granted in any jurisdiction;

(f) That all debts of the decedent, including funeral and
burial expenses, and money owed to the department of human resources as a
result of the payment of benefits for Medicaid, have been paid or provided for;

(g) A description of the personal property and the
portion claimed;

(h) That the affiant has given written notice, by
personal service or by certified mail, identifying the affiants claim and
describing the property claimed, to every person whose right to succeed to the
decedents property is equal or superior to that of the affiant, and that at
least 14 days have elapsed since the notice was served or mailed;

(i) That the affiant is personally entitled, or the department
of human resources is entitled, to full payment or delivery of the property
claimed or is entitled to payment or delivery on behalf of and with the written
authority of all other successors who have an interest in the property; and

(j) That the affiant acknowledges an understanding that
filing a false affidavit constitutes a felony in this state.

3. If the affiant:

(a) Submits an affidavit which does not meet the
requirements of subsection 2 or which contains statements which are not
entirely true, any money or property the affiant receives is subject to all
debts of the decedent.

(b) Fails to give notice to other successors as required
by subsection 2, any money or property the affiant receives is held by the
affiant in trust for all other successors who have an interest in the property.

4. A person who receives an affidavit containing the
information required by subsection 2 is entitled to rely upon that information,
and if the person relies in good faith, the person is immune from civil
liability for actions based on that reliance.

5. Upon receiving proof of the death of the decedent and
an affidavit containing the information required by this section:

(a) A transfer agent of any security shall change the
registered ownership of the security claimed from the decedent to the person
claiming to succeed to ownership of that security.

(b) A governmental agency required to issue certificates
of ownership or registration to personal property shall issue a new certificate
of ownership or registration to the person claiming to succeed to ownership of
the property.

6. If any property of the estate not exceeding $20,000
is located in a state which requires an order of a court for the transfer of
the property, or if the estate consists of stocks or bonds which must be
transferred by an agent outside this state, any person qualified [under]pursuant to the
provisions of subsection 1 to have the stocks or bonds or other property
transferred may do so by obtaining a court order directing the transfer. The
person desiring the transfer must file a petition, which may be ex parte,
containing:

(a) A specific description of all the property of the
decedent.

(b) A list of all the liens and mortgages of record at
the date of the decedents death.

(c) An estimate of the value of the property of the
decedent.

(d) The names, ages of any minors, and residences of the
decedents heirs and devisees.

(e) A request for the court to issue an order directing
the transfer of the stocks or bonds or other property if the court finds the
gross value of the estate does not exceed $20,000.

(f) An attached copy of the executed affidavit made
pursuant to subsection 2.

If the court finds that the gross value of the estate does
not exceed $20,000 and the person requesting the transfer is entitled to it,
the court may enter an order directing the transfer.

Sec. 25. NRS 147.110 is hereby amended to read as
follows:

147.110 1. Within 15 days after the time for filing
claims has expired, as provided in this chapter, the personal representative
shall examine all claims filed and shall either endorse on each claim an
allowance or rejection, with the day and the year thereof, or shall file a
notice of allowance or rejection with the date and the year thereof, and the
notice of allowance or rejection must be attached to the claim allowed or
rejected and filed with the clerk.

2. If a personal representative refuses or neglects to
endorse on a claim an allowance or rejection within 15 days, as specified in
this section, or does not file a notice of allowance or rejection, the claim
shall be deemed rejected, but the personal representative may, nevertheless,
allow the claim at any time before the filing of the final account.

3. [If a claim is deemed rejected pursuant to subsection 2, the
personal representative must, not more than 10 days after the rejection,
provide written notice of the rejection by registered mail to all affected
creditors.

4.]
A personal representative need not allow or reject a claim that was not timely
filed unless the court otherwise orders.

Sec. 26. NRS 148.220 is hereby amended to read as
follows:

148.220 1. Notice of the time and place of sale of real
property must be published in a newspaper published in the county in which the
property, or some portion of the property, is located, if there is one so
published, and if not, then in such paper as the court directs, for 2 weeks,
being three publications, 1 week apart, before the day of sale or, in the case
of a private sale, before the day on or after which the sale is to be made. For
good cause shown, the court may decrease the number of publications to one and
shorten the time for publication to a period not less than 8 days.

2. If the
personal representative is the sole devisee or heir of the estate, or if all
devisees or heirs of the estate consent in writing, the court may waive the
requirement of publication.

3. If
it appears from the inventory and appraisement that the value of the property
to be sold does not exceed $5,000, the personal representative may [dispense
with]waive the requirement of
publication and, in lieu thereof, post a notice of the time and place of sale
in three of the most public places in the county in which the property, or some
portion of the property, is located, for 2 weeks before the day of the sale or,
in the case of a private sale, before the day on or after which the sale is to
be made.

[3.]4. The property proposed to be sold must be
described with common certainty in the notice.

Sec. 27. Chapter 150 of NRS is hereby amended by
adding thereto a new section to read as follows:

Notwithstanding
any other provision of this chapter, the court may waive the requirement of any
accounting if all interested persons agree in writing to the waiver.

Sec. 28. NRS 150.180 is hereby amended to read
as follows:

150.180 1. If a minor is interested in the estate who
has no legally appointed guardian, the court may appoint a disinterested
attorney to represent him who may contest the account as any other interested
person might contest it.

2. The court may also appoint an attorney to represent
unborn, incapacitated or absent heirs and devisees.

3. [All matters, including allowed claims not addressed in the
settlement of any former account, or in entering an order of sale, may be
contested by interested persons for cause shown.

4.]
An attorney so appointed must be paid as provided in NRS 150.060.

Sec. 29. NRS 150.310 is hereby amended to read as
follows:

150.310 1. If
it appears upon any accounting, or in any appropriate action or proceeding,
that a personal representative, trustee or other fiduciary has paid or may be
required to pay an estate tax to the Federal Government under the provisions of
any federal estate tax law, now existing or hereafter enacted, upon or with
respect to any property required to be included in the gross estate of a
decedent under the provisions of any such law, the amount of the tax must be
equitably prorated among the persons interested in the estate, whether
residents or nonresidents of this state, to whom the property was, is or may be
transferred or to whom any benefit accrues, except:

[1.](a) Where a testator otherwise directs in his
will.

[2.](b) Where by written instrument , including, without limitation, an
electronic trust, executed inter vivos direction is given for
apportionment among the beneficiaries of taxes assessed
upon the specific fund dealt with in the instrument.

among the beneficiaries of taxes assessed upon the specific
fund dealt with in the instrument.

2. As used
in this section, electronic trust has the meaning ascribed to it in section
38 of this act.

Sec. 30. NRS 155.190 is hereby amended to read as
follows:

155.190 In addition to any order from which an appeal is
expressly permitted by this Title, an appeal may be taken to the supreme court
within 30 days after [its entry from]the notice of entry of an order:

1. Granting or revoking letters testamentary or letters
of administration.

2. Admitting a will to probate or revoking the probate
thereof.

3. Setting aside an estate claimed not to exceed $50,000
in value.

4. Setting apart property as a homestead, or claimed to
be exempt from execution.

5. Granting or modifying a family allowance.

6. Directing or authorizing the sale or conveyance or
confirming the sale of property.

7. Settling an account of a personal representative or
trustee.

8. Instructing or appointing a trustee.

9. Instructing or directing a personal representative.

10. Directing or allowing the payment of a debt, claim,
devise or attorneys fee.

11. Determining heirship or the persons to whom
distribution must be made or trust property must pass.

12. Distributing property.

13. Refusing to make any order mentioned in this section
or any decision wherein the amount in controversy equals or exceeds, exclusive
of costs, $5,000.

14. Granting or denying a motion to enforce the
liability of a surety filed pursuant to NRS 142.035.

15. Granting an order for conveyance or transfer
pursuant to NRS 148.410.

Sec. 31. NRS 53.045 is hereby amended to read as
follows:

53.045 [1. Except as otherwise provided in subsection 2, any]Any matter whose
existence or truth may be established by an affidavit or other sworn
declaration may be established with the same effect by an unsworn declaration
of its existence or truth signed by the declarant under penalty of perjury, and
dated, in substantially the following form:

[(a)]1. If executed in this state: I declare
under penalty of perjury that the foregoing is true and correct.

Sec. 32. Chapter
159 of NRS is hereby amended by adding thereto a new section to read as
follows:

As used in this chapter, unless the
context otherwise requires, when the term writing or written is used in
reference to a will or instrument, the term includes an electronic will as
defined in section 5 of this act and an electronic trust as defined in section
38 of this act.

Sec. 33. Chapter
163 of NRS is hereby amended by adding thereto the provisions set forth as
sections 34 to 40, inclusive, of this act.

Sec. 34.As used in this chapter, unless the
context otherwise requires, when the term writing or written is used in
reference to a will, trust or instrument to convey property, the term includes
an electronic will as defined in section 5 of this act or an electronic trust
as defined in section 38 of this act, as appropriate.

Sec. 35. As
used in this chapter, unless the context otherwise requires, the words and
terms defined in sections 36 to 39, inclusive, of this act, have the meanings
ascribed to them in those sections.

Sec. 36. Electronic
record has the meaning ascribed to it in section 3 of this act.

Sec. 37. Electronic
signature has the meaning ascribed to it in section 4 of this act.

Sec. 38.Electronic trust means a trust instrument
that complies with the requirements of section 40 of this act.

Sec. 39.Record has the meaning ascribed to it
in section 6 of this act.

Sec. 40.1. An electronic trust is a trust
instrument that:

(a) Is written, created and stored in an electronic
record;

(b) Contains the electronic signature of the settlor;
and

(c) Meets the requirements set forth in this chapter for
a valid trust.

2. An electronic trust shall be deemed to be executed
in this state if the electronic trust is:

(a) Transmitted to and maintained by a custodian
designated in the trust instrument at his place of business in this state or at
his residence in this state; or

(b) Maintained by the settlor at his place of business
in this state or at his residence in this state, or by the trustee at his place
of business in this state or at his residence in this state.

3. The
provisions of this section do not apply to a testamentary trust.

Sec. 41. NRS 163.008 is hereby amended to read as
follows:

163.008 1. A trust created in relation to real property
is not valid unless it is created by operation of law or is evidenced by:

(a) A written instrument signed by the trustee, or by the
agent of the trustee if he is authorized in writing to do so; or

(b) A written instrument , including, without limitation, an electronic trust, conveying
the trust property and signed by the settlor, or by the agent of the settlor if
he is authorized in writing to do so.

2. Such a trust may be recorded in the office of the
county recorder in the county where all or a portion of the real property is
located.

Sec. 42. NRS 163.260 is hereby amended to read as
follows:

163.260 1. By an expressed intention of the testator or
settlor [so] to do so contained in a will, or in an instrument in
writing whereby a trust estate is created inter vivos, any or all of the powers
or any portion thereof enumerated in NRS 163.265 to 163.410, inclusive, as they
exist at the time [of the signing of the will by] that
the testator signs the will or places his electronic signature on the will, if
it is an electronic will, or at the time [of the signing by] that the first
settlor [who] signs the trust instrument [,] or places his electronic signature
on the trust instrument, if it is an electronic trust, may be, by appropriate
reference made thereto, incorporated in such will or other written instrument,
with the same effect as though such language were set forth verbatim in the
instrument.

[of the signing of the will by]that the testator signs the will or places his electronic
signature on the will, if it is an electronic will, or at the
time [of the signing by]that the first settlor [who]
signs the trust instrument [,]or places his electronic signature on the trust instrument,
if it is an electronic trust, may be, by appropriate reference
made thereto, incorporated in such will or other written instrument, with the
same effect as though such language were set forth verbatim in the instrument.
Incorporation of one or more of the powers contained in NRS 163.265 to 163.410,
inclusive, by reference to the proper section shall be in addition to and not
in limitation of the common law or statutory powers of the fiduciary.

2. A fiduciary shall not exercise any power or authority
conferred as provided in NRS 163.260 to 163.410, inclusive, in such a manner
as, in the aggregate, to deprive the trust or the estate involved of an
otherwise available tax exemption, deduction or credit, expressly including the
marital deduction, or operate to impose a tax upon a donor or testator or other
person as owner of any portion of the trust or estate involved. Tax includes,
but is not limited to, any federal income, gift, estate or inheritance tax.

3. This section does not prevent the incorporation of
the powers enumerated in NRS 163.265 to 163.410, inclusive, in any other kind
of instrument or agreement.

4. As used
in this section, electronic will has the meaning ascribed to it in section 5
of this act.

Sec. 43. NRS 163.590 is hereby amended to read as
follows:

163.590 1. [A]Whether or not the provisions relating
to electronic trusts apply, a trust may refer to a written
statement or list , including,
without limitation, a written statement or list contained in an electronic
record, to dispose of items of tangible personal property not
otherwise specifically disposed of by the trust, other than money, evidences of
indebtedness, documents of title, securities and property used in a trade or
business.

2. To be admissible as evidence of the intended
disposition, the statement or list must contain:

(a) The date of its execution.

(b) A title indicating its purpose.

(c) A reference to the trust to which it relates.

(d) A reasonably certain description of the items to be
disposed of and the beneficiaries.

(e) The handwritten
signature or
electronic signature of the settlor.

3. The statement or list may be:

(a) Referred to as a writing to be in existence at the
death of the settlor.

(b) Prepared before or after the execution of the trust
instrument.

(c) Altered by the settlor after its preparation.

(d) A writing which has no significance apart from its
affect upon the dispositions made by the trust.

Sec. 44. Chapter 164 of NRS is hereby amended by
adding thereto a new section to read as follows:

When not
otherwise inconsistent with the provisions of chapters 162 to 167, inclusive,
of NRS, all of the provisions of chapters 132, 153 and 155 of NRS regulating
the matters of estates:

1. Apply to proceedings
relating to trusts, as appropriate; or

2. May be
applied to supplement the provisions of chapters 162 to 167, inclusive, of NRS.

164.010 1. Upon petition of any person appointed as
trustee of an express trust by any written instrument other than a will, or
upon petition of a settlor or beneficiary of the trust, the district court of
the county in which the trustee resides or conducts business, or in which the
trust has been domiciled, shall consider the application to confirm the
appointment of the trustee and specify the manner in which the trustee must
qualify. Thereafter the court has jurisdiction of the trust as a proceeding in
rem.

2. If the court grants the petition, it may consider at
the same time any petition for instructions filed with the petition for
confirmation.

3. At any time, the trustee may petition the court for
removal of the trust from continuing jurisdiction of the court.

4. As used in
this section, written instrument includes, without limitation, an electronic
trust as defined in section 38 of this act.

Sec. 46. NRS 164.025 is hereby amended to read as
follows:

164.025 1. The trustee of a nontestamentary trust may
after the death of the settlor of the trust cause to be published a notice in
the manner specified in paragraph (b) of subsection 1 of NRS 155.020 and mail a
copy of the notice to known or readily ascertainable creditors.

2. The notice must be in substantially the following
form:

NOTICE TO CREDITORS

Notice is hereby given that the undersigned is the duly
appointed and qualified trustee of the ................ trust.
................, the settlor of that trust died on ................. A creditor
having a claim against the trust estate must file his claim with the
undersigned at the address given below within 90 days after the first
publication of this notice.

Dated................................

Trustee

Address

3. A person having a claim, due or to become due, against
a settlor or the trust must file the claim with the trustee within 90 days
after the mailing, for those required to be mailed, or 90 days after
publication of the first notice to creditors. Any claim against the trust
estate not filed within that time is forever barred. After the expiration of
the time, the trustee may distribute the assets of the trust to its
beneficiaries without personal liability to any creditor who has failed to file
a claim with the trustee.

4. If the trustee knows or has reason to believe that
the settlor received public assistance during his lifetime, the trustee shall,
whether or not he gives notice to other creditors, give notice within 30 days
after the death to the welfare division of the department of human resources in
the manner provided in NRS 155.010. If notice to the welfare division is
required by this subsection ,
but is not given, the trust estate and any assets transferred to a beneficiary
remain subject to the right of the welfare division to recover public assistance
received.

5. If a
claim is rejected by the trustee, in whole or in part, the trustee must, within
10 days of the rejection, notify the claimant of the rejection by written notice forwarded by registered or certified mail to the
mailing address of the claimant.

written notice
forwarded by registered or certified mail to the mailing address of the
claimant. The claimant must bring suit in the proper court against the trustee
within 60 days after the notice is given, whether the claim is due or not, or
the claim is barred forever and the trustee may distribute the assets of the
trust to its beneficiaries without personal liability to any creditor whose
claim is barred forever.

Sec. 47. Chapter
166 of NRS is hereby amended by adding thereto a new section to read as
follows:

As used in
this chapter, unless the context otherwise requires, when the term writing or
written is used in reference to a will, trust or instrument, the term
includes an electronic will as defined in section 5 of this act and an
electronic trust as defined in section 38 of this act.

Sec. 48. NRS 145.050 is hereby repealed.

________

CHAPTER 459, SB 139

Senate
Bill No. 139Committee on Finance

CHAPTER 459

AN ACT relating to the administration of the courts;
revising the manner in which administrative assessments are distributed to the
office of the court administrator; requiring the reduction of appropriations
made to the supreme court from the state general fund upon the receipt of
certain money from those assessments; and providing other matters properly
relating thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. NRS 176.059 is hereby amended to
read as follows:

176.059 1. Except as otherwise provided in subsection
2, when a defendant pleads guilty or guilty but mentally ill or is found guilty
of a misdemeanor, including the violation of any municipal ordinance, the
justice or judge shall include in the sentence the sum prescribed by the
following schedule as an administrative assessment and render a judgment
against the defendant for the assessment:

(b) An ordinance which is specifically designated as
imposing a civil penalty or liability pursuant to NRS 244.3575 or 268.019.

3. The money collected for an administrative assessment
must not be deducted from the fine imposed by the justice or judge but must be
taxed against the defendant in addition to the fine. The money collected for an
administrative assessment must be stated separately on the courts docket and
must be included in the amount posted for bail. If the defendant is found not
guilty or the charges are dismissed, the money deposited with the court must be
returned to the defendant. If the justice or judge cancels a fine because the
fine has been determined to be uncollectible, any balance of the fine and the
administrative assessment remaining unpaid shall be deemed to be uncollectible
and the defendant is not required to pay it. If a fine is determined to be
uncollectible, the defendant is not entitled to a refund of the fine or
administrative assessment he has paid and the justice or judge shall not recalculate
the administrative assessment.

4. If the justice or judge permits the fine and
administrative assessment to be paid in installments, the payments must be
first applied to the unpaid balance of the administrative assessment. The city
treasurer shall distribute partially collected administrative assessments in
accordance with the requirements of subsection 5. The county treasurer shall
distribute partially collected administrative assessments in accordance with
the requirements of subsection 6.

5. The money collected for administrative assessments in
municipal court must be paid by the clerk of the court to the city treasurer on
or before the fifth day of each month for the preceding month. The city
treasurer shall distribute, on or before the 15th day of that month, the money
received in the following amounts for each assessment received:

(a) Two dollars to the county treasurer for credit to a
special account in the county general fund for the use of the countys juvenile
court or for services to juvenile offenders. Any money remaining in the special
account after 2 fiscal years must be deposited in the county general fund if it
has not been committed for expenditure. The county treasurer shall provide,
upon request by a juvenile court, monthly reports of the revenue credited to
and expenditures made from the special account.

(b) Seven dollars for credit to a special revenue fund
for the use of the municipal courts. Any money remaining in the special revenue
fund after 2 fiscal years must be deposited in the municipal general fund if it
has not been committed for expenditure. The city treasurer shall provide, upon
request by a municipal court, monthly reports of the revenue credited to and
expenditures made from the special revenue fund.

(c) The remainder of each assessment to the state
treasurer for credit to a special account in the state general fund.

6. The money collected for administrative assessments in
justices courts must be paid by the clerk of the court to the county treasurer
on or before the fifth day of each month for the preceding month. The county
treasurer shall distribute, on or before the 15th day of that month, the money
received in the following amounts for each assessment received:

(a) Two dollars for credit to a special account in the
county general fund for the use of the countys juvenile court or for services
to juvenile offenders. Any money remaining in the special account after 2
fiscal years must be deposited in the county general fund if it has not been
committed for expenditure. The county treasurer shall provide, upon request by
a juvenile court, monthly reports of the revenue credited
to and expenditures made from the special account.

court, monthly reports of the revenue credited to and
expenditures made from the special account.

(b) Seven dollars for credit to a special revenue fund
for the use of the justices courts. Any money remaining in the special revenue
fund after 2 fiscal years must be deposited in the county general fund if it
has not been committed for expenditure. The county treasurer shall provide,
upon request by a justices court, monthly reports of the revenue credited to
and expenditures made from the special revenue fund.

(c) The remainder of each assessment to the state
treasurer for credit to a special account in the state general fund.

7. The money apportioned to a juvenile court, a
justices court or a municipal court pursuant to this section must be used, in
addition to providing services to juvenile offenders in the juvenile court, to
improve the operations of the court, or to acquire appropriate advanced
technology or the use of such technology, or both. Money used to improve the
operations of the court may include expenditures for:

(a) Training and education of personnel;

(b) Acquisition of capital goods;

(c) Management and operational studies; or

(d) Audits.

8. Of the total amount deposited in the state general
fund pursuant to subsections 5 and 6, the state controller shall distribute the
money received[,
to the extent of legislative authorization,] to the
following public agencies in the following manner:

(a) Not less than 51 percent [must be distributed]
to the office of the court administrator for allocation as follows:

(1) Eighteen and one-half percent of the amount
distributed to the office of the court administrator for the administration of
the courts.

(2) Nine percent of the amount distributed to the
office of the court administrator for the development of a uniform system for
judicial records.

(3) Nine percent of the amount distributed to the
office of the court administrator for continuing judicial education.

(4) Sixty percent of the amount distributed to the
office of the court administrator for the supreme court.

(5) Three and one-half percent of the amount
distributed to the office of the court administrator for the payment for the
services of retired justices and retired district judges.

(b) Not more than 49 percent must be used to the extent
of legislative authorization for the support of:

(1) The central repository for Nevada records of
criminal history;

(2) The peace officers standards and training
commission;

(3) The operation by the Nevada highway patrol of a
computerized switching system for information related to law enforcement;

(4) The fund for the compensation of victims of
crime; and

(5) The advisory council for prosecuting attorneys.

9. As used in this section, juvenile court means:

(a) In any judicial district that includes a county whose
population is 100,000 or more, the family division of the district court; or

(b) In any other judicial district, the juvenile division
of the district court.

Sec. 2. Chapter
2 of NRS is hereby amended by adding thereto a new section to read as
follows:

1. Any amount appropriated by the
legislature from the state general fund for the support or operation of the
supreme court during a fiscal year must be reduced to the extent that the
amount of any administrative assessments distributed to the office of the court
administrator for allocation to the supreme court pursuant to NRS 176.059
exceeds the amount which is authorized by the legislature for expenditure from
those assessments for that fiscal year.

2. The supreme
court shall reserve for reversion each fiscal year the amount by which an
appropriation from the state general fund must be reduced pursuant to
subsection 1, and that amount reverts to the state general fund upon the close
of that fiscal year by the state controller.

Sec. 3. 1.
This section and section 2 of this act become effective on July 1, 2001.

2. Section 1 of this act becomes effective at 12:01 a.m. on
July 1, 2001.

________

CHAPTER 460, SB 194

Senate
Bill No. 194Committee on Judiciary

CHAPTER 460

AN ACT relating to supervision; ratifying the Interstate
Compact for Adult Offender Supervision; renouncing the Interstate Compact for
the Supervision of Parolees and Probationers and repealing the provisions
relating thereto; and providing other matters properly relating thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1.Chapter 213 of NRS is hereby amended
by adding thereto a new section to read as follows:

The Interstate
Compact for Adult Offender Supervision is hereby ratified, enacted into law and
entered into with all jurisdictions legally joining in the Compact, in
substantially the form set forth in this section:

ARTICLE I. PURPOSE

(1) The
compacting states to this Interstate Compact recognize that each state is
responsible for the supervision of adult offenders in the community who are
authorized pursuant to the bylaws and rules of this compact to travel across
state lines both to and from each compacting state in such a manner as to track
the location of offenders, transfer supervision authority in an orderly and
efficient manner, and when necessary return offenders to the originating
jurisdictions.

(2) The
compacting states also recognize that Congress, by enacting the Crime Control
Act, 4 U.S.C. Section 112 (1965), has authorized and encouraged compacts for
cooperative efforts and mutual assistance in the prevention of crime.

(3) It is the
purpose of this compact and the Interstate Commission created hereunder,
through means of joint and cooperative action among the compacting states to
provide the framework for the promotion of public safety and protect the rights
of victims through the control and regulation of the interstate movement of
offenders in the community, to provide for the effective tracking, supervision
and rehabilitation of these offenders by the sending and receiving states, and
to equitably distribute the costs, benefits and obligations of the compact
among the compacting states.

(4) In addition,
this compact will create an Interstate Commission which will establish uniform
procedures to manage the movement between states of adults placed under
community supervision and released to the community under the jurisdiction of
courts, paroling authorities, corrections or other criminal justice agencies
which will promulgate rules to achieve the purpose of this compact, ensure an
opportunity for input and timely notice to victims and to jurisdictions where
defined offenders are authorized to travel or to relocate across state lines,
establish a system of uniform data collection, access to information on active
cases by authorized criminal justice officials and regular reporting of compact
activities to heads of state councils, state executive, judicial and
legislative branches and criminal justice administrators, monitor compliance
with rules governing interstate movement of offenders and initiate
interventions to address and correct noncompliance, and coordinate training and
education regarding regulation of interstate movement of offenders for
officials involved in such activity.

(5) The
compacting states recognize that there is no right of any offender to live in
another state and that duly accredited officers of a sending state may at all
times enter a receiving state and there apprehend and retake any offender under
supervision subject to the provisions of this compact and bylaws and rules
promulgated hereunder.

(6) It is the
policy of the compacting states that the activities conducted by the Interstate
Commission created herein are the formation of public policies and are therefore
public business.

ARTICLE II. DEFINITIONS

As used in this
compact, unless the context clearly requires a different construction:

(1) Adult means
both individuals legally classified as adults and juveniles treated as adults
by court order, statute or operation of law.

(2) Bylaws
means those bylaws established by the Interstate Commission for its governance
or for directing or controlling the Interstate Commissions actions or conduct.

(3) Compact
administrator means the individual in each compacting state appointed pursuant
to the terms of this compact responsible for the administration and management
of the states supervision and transfer of offenders subject to the terms of
this compact, the rules adopted by the Interstate Commission and policies
adopted by the State Council under this compact.

(4) Compacting state means any state which has enacted
the enabling legislation for this compact.

(5) Commissioner means the voting representative of
each compacting state appointed pursuant to Article IV of this compact.

(6) Interstate Commission means the Interstate
Commission for Adult Offender Supervision established by this compact.

(7) Member means the commissioner of a compacting
state or designee, who shall be a person officially connected with the
commissioner.

(8) Noncompacting state means any state which has not
enacted the enabling legislation for this compact.

(9) Offender means an adult placed under, or subject
to, supervision as the result of the commission of a criminal offense and
released to the community under the jurisdiction of courts, paroling
authorities, corrections or other criminal justice agencies.

(10) Person means any individual, corporation,
business enterprise, or other legal entity, either public or private.

(11) Rules means acts of the Interstate Commission,
duly promulgated pursuant to Article VIII of this compact, substantially
affecting interested parties in addition to the Interstate Commission, which
shall have the force and effect of law in the compacting states.

(12) State means a state of the United States, the
District of Columbia and any other territorial possession of the United States.

(13) State Council means the resident members of the
State Council for Interstate Adult Offender Supervision created by each state
under Article IV of this compact.

ARTICLE III. THE
COMPACT COMMISSION

(1) The compacting states hereby create the Interstate
Commission for Adult Offender Supervision. The Interstate Commission shall be
a body corporate and joint agency of the compacting states. The Interstate
Commission shall have all the responsibilities, powers and duties set forth
herein, including the power to sue and be sued, and such additional powers as
may be conferred upon it by subsequent action of the respective legislatures of
the compacting states in accordance with the terms of this compact.

(2) The Interstate Commission shall consist of
commissioners selected and appointed by resident members of a State Council for
Interstate Adult Offender Supervision for each state. In addition to the
commissioners who are the voting representatives of each state, the Interstate
Commission shall include individuals who are not commissioners but who are
members of interested organizations. Such noncommissioner members must include
a member of the national organizations of governors, legislators, state chief
justices, attorneys general and crime victims. All noncommissioner members of
the Interstate Commission shall be ex officio, nonvoting members. The
Interstate Commission may provide in its bylaws for such additional, ex
officio, nonvoting members as it deems necessary.

(3) Each compacting state represented at any meeting of
the Interstate Commission is entitled to one vote. A majority of the compacting
states shall constitute a quorum for the transaction of business, unless a
larger quorum is required by the bylaws of the Interstate Commission.

(4) The Interstate Commission shall meet at least once
each calendar year. The chairperson may call additional meetings and, upon the
request of 27 or more compacting states, shall call additional meetings. Public
notice shall be given of all meetings, and meetings shall be open to the
public.

(5) The Interstate Commission shall establish an
executive committee which shall include commission officers, members and others
as shall be determined by the bylaws. The executive committee shall have the
power to act on behalf of the Interstate Commission during periods when the
Interstate Commission is not in session, with the exception of rulemaking
and/or amendment to the compact. The executive committee oversees the
day-to-day activities managed by the executive director and Interstate
Commission staff, administers enforcement and compliance with the provisions of
the compact, its bylaws and as directed by the Interstate Commission and
performs other duties as directed by the Interstate Commission or set forth in
the bylaws.

ARTICLE IV. THE STATE COUNCIL

(1) The Nevada State Council for Interstate Adult
Offender Supervision is hereby created. The Nevada State Council for Interstate
Adult Offender Supervision consists of the following seven members:

(a) The compact administrator, appointed by the
governor, who shall serve as chairman and as commissioner to the Interstate
Commission for this state;

(b) Three members appointed by the governor, one of whom
must be a representative of an organization supporting the rights of victims of
crime;

(c) One member of the senate, appointed by the majority
leader of the senate;

(d) One member of the assembly, appointed by the speaker
of the assembly; and

(e) One member who is a district judge, appointed by the
chief justice of the supreme court of Nevada.

(2) The members of the Nevada State Council for
Interstate Adult Offender Supervision serve at the pleasure of the persons who
appointed them.

(3) The legislators who are members of the Nevada State
Council for Interstate Adult Offender Supervision are entitled to receive the
salary provided for a majority of the members of the legislature during the
first 60 days of the preceding session for each days attendance at a meeting
of the Nevada State Council for Interstate Adult Offender Supervision.

(4) While engaged in the business of the commission,
each member of the Nevada State Council for Interstate Adult Offender
Supervision is entitled to receive the per diem allowance and travel expenses
provided for state officers and employees generally.

(5) The Nevada State Council for Interstate Adult Offender
Supervision shall develop policies concerning the operation of the compact
within this state and shall exercise oversight and advocacy concerning its
participation in activities of the Interstate Commission.

(1) To adopt a seal and suitable bylaws governing the
management and operation of the Interstate Commission.

(2) To promulgate rules which shall have the force and
effect of statutory law and shall be binding in the compacting states to the
extent and in the manner provided in this compact.

(3) To oversee, supervise and coordinate the interstate
movement of offenders subject to the terms of this compact and any bylaws
adopted and rules promulgated by the compact commission.

(4) To enforce compliance with compact provisions,
Interstate Commission rules and bylaws, using all necessary and proper means,
including, but not limited to, the use of judicial process.

(5) To establish and maintain offices.

(6) To purchase and maintain insurance and bonds.

(7) To borrow, accept or contract for services of
personnel, including, but not limited to, members and their staffs.

(8) To establish and appoint committees and hire staff
which it deems necessary for the carrying out of its functions, including, but
not limited to, an executive committee as required by Article III which shall
have the power to act on behalf of the Interstate Commission in carrying out
its powers and duties hereunder.

(9) To elect or appoint such officers, attorneys,
employees, agents or consultants, and to fix their compensation, define their
duties and determine their qualifications, and to establish the Interstate
Commissions personnel policies and programs relating to, among other things,
conflicts of interest, rates of compensation and qualifications of personnel.

(10) To accept any and all donations and grants of
money, equipment, supplies, materials and services, and to receive, utilize and
dispose of same.

(11) To lease, purchase, accept contributions or
donations of, or otherwise to own, hold, improve or use any property, real,
personal or mixed.

(13) To establish a budget and make expenditures and
levy dues as provided in Article X of this compact.

(14) To sue and be sued.

(15) To provide for dispute resolution among compacting
states.

(16) To perform such functions as may be necessary or
appropriate to achieve the purposes of this compact.

(17) To report annually to the legislatures, governors,
judiciary and state councils of the compacting states concerning the activities
of the Interstate Commission during the preceding year. Such reports shall also
include any recommendations that may have been adopted by the Interstate
Commission.

(18) To coordinate education, training and public
awareness regarding the interstate movement of offenders for officials involved
in such activity.

(19) To establish uniform standards for the reporting,
collecting and exchanging of data.

(1) The Interstate Commission shall, by a majority of
the members, within 12 months of the first Interstate Commission meeting, adopt
bylaws to govern its conduct as may be necessary or appropriate to carry out
the purposes of the compact, including, but not limited to:

(a) Establishing the fiscal year of the Interstate
Commission.

(b) Establishing an executive committee and such other
committees as may be necessary.

(c) Providing reasonable standards and procedures for:

(i) The establishment of committees; and

(ii) Governing any general or specific delegation
of any authority or function of the Interstate Commission.

(d) Providing reasonable procedures for calling and
conducting meetings of the Interstate Commission and ensuring reasonable notice
of each such meeting.

(e) Establishing the titles and responsibilities of the
officers of the Interstate Commission.

(f) Providing reasonable standards and procedures for
the establishment of the personnel policies and programs of the Interstate
Commission. Notwithstanding any civil service or other similar laws of any
compacting state, the bylaws shall exclusively govern the personnel policies
and programs of the Interstate Commission.

(g) Providing a mechanism for winding up the operations
of the Interstate Commission and the equitable return of any surplus funds that
may exist upon the termination of the compact after the payment and/or
reserving of all of its debts and obligations.

(i) Establishing standards and procedures for compliance
and technical assistance in carrying out the compact.

Section B. Officers
and Staff

(2) The Interstate Commission shall, by a majority of
the members, elect from among its members a chairperson and a vice chairperson,
each of whom shall have such authority and duties as may be specified in the
bylaws. The chairperson or, in his absence or disability, the vice chairperson
shall preside at all meetings of the Interstate Commission. The officers so
elected shall serve without compensation or remuneration from the Interstate
Commission; provided that, subject to the availability of budgeted funds, the
officers shall be reimbursed for any actual and necessary costs and expenses
incurred by them in the performance of their duties and responsibilities as
officers of the Interstate Commission.

(3) The Interstate Commission shall, through its
executive committee, appoint or retain an executive director for such period,
upon such terms and conditions and for such compensation as the Interstate
Commission may deem appropriate. The executive director shall serve as
secretary to the Interstate Commission, and
hire and supervise such other staff as may be authorized by the Interstate
Commission, but shall not be a member.

the Interstate Commission, and hire and supervise such other
staff as may be authorized by the Interstate Commission, but shall not be a
member.

Section C. Corporate
Records of the Interstate Commission

(4) The Interstate Commission shall maintain its
corporate books and records in accordance with the bylaws.

Section D. Qualified
Immunity, Defense and Indemnification

(5) The members, officers, executive director and
employees of the Interstate Commission shall be immune from suit and liability,
either personally or in their official capacity, for any claim for damage to or
loss of property or personal injury or other civil liability caused or arising
out of any actual or alleged act, error or omission that occurred within the
scope of Interstate Commission employment, duties or responsibilities; provided
that nothing in this paragraph shall be construed to protect any such person
from suit and/or liability for any damage, loss, injury or liability caused by
the intentional or willful and wanton misconduct of any such person.

(6) The Interstate Commission shall defend the
commissioner of a compacting state, or his or her representatives or employees,
or the Interstate Commissions representatives or employees, in any civil
action seeking to impose liability, arising out of any actual or alleged act,
error or omission that occurred within the scope of Interstate Commission
employment, duties or responsibilities, or that the defendant had a reasonable
basis for believing occurred within the scope of Interstate Commission
employment, duties or responsibilities; provided that the actual or alleged
act, error or omission did not result from intentional wrongdoing on the part
of such person.

(7) The Interstate Commission shall indemnify and hold
the commissioner of a compacting state, the appointed designee or employees, or
the Interstate Commissions representatives or employees, harmless in the
amount of any settlement or judgment obtained against such persons arising out
of any actual or alleged act, error or omission that occurred within the scope
of Interstate Commission employment, duties or responsibilities, or that such
persons had a reasonable basis for believing occurred within the scope of
Interstate Commission employment, duties or responsibilities; provided that the
actual or alleged act, error or omission did not result from gross negligence
or intentional wrongdoing on the part of such person.

ARTICLE VII. ACTIVITIES
OF THE INTERSTATE COMMISSION

(1) The Interstate Commission shall meet and take such
actions as are consistent with the provisions of this compact.

(2) Except as otherwise provided in this compact and
unless a greater percentage is required by the bylaws, in order to constitute
an act of the Interstate Commission, such act shall have been taken at a
meeting of the Interstate Commission and shall have received an affirmative
vote of a majority of the members present.

(3) Each member of the Interstate Commission shall have
the right and power to cast a vote to which that compacting state is entitled
and to participate in the business and affairs of the Interstate Commission. A
member shall vote in person on behalf of the state and shall not delegate a
vote to another member state. However, a State Council shall appoint another
authorized representative, in the absence of the commissioner from that state,
to cast a vote on behalf of the member state at a specified meeting. The bylaws
may provide for members participation in meetings by telephone or other means
of telecommunication or electronic communication. Any voting conducted by
telephone or other means of telecommunication or electronic communication shall
be subject to the same quorum requirements of meetings where members are
present in person.

(4) The Interstate Commission shall meet at least once
during each calendar year. The chairperson of the Interstate Commission may
call additional meetings at any time and, upon the request of a majority of the
members, shall call additional meetings.

(5) The Interstate Commissions bylaws shall establish
conditions and procedures under which the Interstate Commission shall make its
information and official records available to the public for inspection or
copying. The Interstate Commission may exempt from disclosure any information
or official records to the extent they would adversely affect personal privacy
rights or proprietary interests. In promulgating such rules, the Interstate
Commission may make available to law enforcement agencies records and
information otherwise exempt from disclosure, and may enter into agreements
with law enforcement agencies to receive or exchange information or records
subject to nondisclosure and confidentiality provisions.

(6) Public notice shall be given of all meetings and all
meetings shall be open to the public, except as set forth in the rules or as
otherwise provided in the compact. The Interstate Commission shall promulgate
rules consistent with the principles contained in the Government in Sunshine
Act, 5 U.S.C. Section 552(b), as may be amended. The Interstate Commission and
any of its committees may close a meeting to the public where it determines by
two-thirds vote that an open meeting would be likely to:

(g) Disclose information contained in or related to
examination, operating or condition reports prepared by, or on behalf of or for
the use of, the Interstate Commission with respect to a regulated entity for
the purpose of regulation or supervision of such entity.

(h) Disclose information, the premature disclosure of
which would significantly endanger the life of a person or the stability of a
regulated entity.

(i) Specifically relate to the Interstate Commissions
issuance of a subpoena, or its participation in a civil action or proceeding.

For every meeting closed pursuant to this provision, the
Interstate Commissions chief legal officer shall publicly certify that, in his
or her opinion, the meeting may be closed to the public, and shall reference
each relevant exemptive provision.

(7) The Interstate Commission shall keep minutes which
shall fully and clearly describe all matters discussed in any meeting and shall
provide a full and accurate summary of any actions taken, and the reasons
therefor, including a description of each of the views expressed on any item
and the record of any roll call vote (reflected in the vote of each member on
the question). All documents considered in connection with any action shall be
identified in such minutes.

(8) The Interstate Commission shall collect standardized
data concerning the interstate movement of offenders as directed through its
bylaws and rules which shall specify the data to be collected, the means of
collection and data exchange and reporting requirements.

ARTICLE VIII. RULEMAKING
FUNCTIONS OF THE INTERSTATE COMMISSION

(1) The Interstate Commission shall promulgate rules in
order to effectively and efficiently achieve the purposes of the compact,
including transition rules governing administration of the compact during the
period in which it is being considered and enacted by the states.

(3) All rules and amendments shall become binding as of
the date specified in each rule or amendment.

(4) If a majority of the legislatures of the compacting
states rejects a rule, by enactment of a statute or resolution in the same
manner used to adopt the compact, then such rule shall have no further force
and effect in any compacting state.

(5) When promulgating a rule, the Interstate Commission
shall:

(a) Publish the proposed rule stating with particularity
the text of the rule which is proposed and the reason for the proposed rule.

(d) Promulgate a final rule and its effective date, if
appropriate, based on the rulemaking record.

(6) Not later than 60 days after a rule is promulgated,
any interested person may file a petition in the United States District Court
for the District of Columbia or in the federal district court where the
Interstate Commissions principal office is located for judicial review of such
rule. If the court finds that the
Interstate Commissions action is not supported by substantial evidence, as
defined in the APA, in the rulemaking record, the court shall hold the rule
unlawful and set it aside.

the court finds that the Interstate Commissions action is
not supported by substantial evidence, as defined in the APA, in the rulemaking
record, the court shall hold the rule unlawful and set it aside.

(7) Subjects to be addressed within 12 months after the
first meeting must at a minimum include:

(a) Notice to victims and opportunity to be heard.

(b) Offender registration and compliance.

(c) Violations/returns.

(d) Transfer procedures and forms.

(e) Eligibility for transfer.

(f) Collection of restitution and fees from offenders.

(g) Data collection and reporting.

(h) The level of supervision to be provided by the
receiving state.

(i) Transition rules governing the operation of the
compact and the Interstate Commission during all or part of the period between
the effective date of the compact and the date on which the last eligible state
adopts the compact.

(j) Mediation, arbitration and dispute resolution.

(8) The existing rules governing the operation of the
previous compact superseded by this act shall be null and void 12 months after
the first meeting of the Interstate Commission created hereunder.

(9) Upon determination by the Interstate Commission that
an emergency exists, it may promulgate an emergency rule which shall become
effective immediately upon adoption; provided that the usual rulemaking
procedures provided hereunder shall be retroactively applied to said rule as
soon as reasonably possible, in no event later than 90 days after the effective
date of the rule.

(1) The Interstate Commission shall oversee the
interstate movement of adult offenders in the compacting states and shall
monitor such activities being administered in noncompacting states which may
significantly affect compacting states.

(2) The courts and executive agencies in each compacting
state shall enforce this compact and shall take all actions necessary and
appropriate to effectuate the compacts purposes and intent. In any judicial or
administrative proceeding in a compacting state pertaining to the subject matter
of this compact which may affect the powers, responsibilities or actions of the
Interstate Commission, the Interstate Commission shall be entitled to receive
all service of process in any such proceeding, and shall have standing to
intervene in the proceeding for all purposes.

Section B. Dispute Resolution

(3) The compacting states shall report to the Interstate
Commission on issues or activities of concern to them, and cooperate with and
support the Interstate Commission in the discharge of its duties and
responsibilities.

(4) The Interstate Commission shall attempt to resolve
any disputes or other issues which are subject to the compact and which may
arise among compacting states and noncompacting states.

(5) The Interstate Commission shall enact a bylaw or
promulgate a rule providing for both mediation and binding dispute resolution
for disputes among the compacting states.

Section C. Enforcement

(6) The Interstate Commission, in the reasonable
exercise of its discretion, shall enforce the provisions of this compact using
any or all means set forth in Article XII, Section B, of this compact.

ARTICLE X. FINANCE

(1) The Interstate Commission shall pay or provide for
the payment of the reasonable expenses of its establishment, organization and
ongoing activities.

(2) The Interstate Commission shall levy on and collect
an annual assessment from each compacting state to cover the cost of the
internal operations and activities of the Interstate Commission and its staff
which must be in a total amount sufficient to cover the Interstate Commissions
annual budget as approved each year. The aggregate annual assessment amount
shall be allocated based upon a formula to be determined by the Interstate
Commission, taking into consideration the population of the state and the
volume of interstate movement of offenders in each compacting state and shall
promulgate a rule binding upon all compacting states which governs said
assessment.

(3) The Interstate Commission shall not incur any
obligations of any kind prior to securing the funds adequate to meet the same,
nor shall the Interstate Commission pledge the credit of any of the compacting
states, except by and with the authority of the compacting state.

(4) The Interstate Commission shall keep accurate
accounts of all receipts and disbursements. The receipts and disbursements of
the Interstate Commission shall be subject to the audit and accounting
procedures established under its bylaws. However, all receipts and
disbursements of funds handled by the Interstate Commission shall be audited
yearly by a certified or licensed public accountant and the report of the audit
shall be included in and become part of the annual report of the Interstate
Commission.

ARTICLE XI. COMPACTING STATES, EFFECTIVE
DATE AND AMENDMENT

(1) Any state, as defined in Article II of this compact,
is eligible to become a compacting state.

(2) The compact shall become effective and binding upon
legislative enactment of the compact into law by no less than 35 of the states.
The initial effective date shall be the later of July 1, 2001, or upon
enactment into law by the 35th jurisdiction. Thereafter it shall become
effective and binding, as to any other compacting state, upon enactment of the
compact into law by that state. The governors of nonmember states or their designees will be invited to participate in Interstate
Commission activities on a nonvoting basis prior to adoption of the compact by
all states and territories of the United States.

designees will be invited to participate in Interstate
Commission activities on a nonvoting basis prior to adoption of the compact by
all states and territories of the United States.

(3) Amendments to the compact may be proposed by the
Interstate Commission for enactment by the compacting states. No amendment
shall become effective and binding upon the Interstate Commission and the
compacting states unless and until it is enacted into law by unanimous consent
of the compacting states.

(1) Once effective, the compact shall continue in force
and remain binding upon each and every compacting state; provided that a
compacting state may withdraw from the compact (withdrawing state) by
enacting a statute specifically repealing the statute which enacted the compact
into law. The effective date of withdrawal is the effective date of the repeal.

(2) The withdrawing state shall immediately notify the
chairperson of the Interstate Commission in writing upon the introduction of
legislation repealing this compact in the withdrawing state. The Interstate
Commission shall notify the other compacting states of the withdrawing states
intent to withdraw within 60 days of its receipt thereof.

(3) The withdrawing state is responsible for all
assessments, obligations and liabilities incurred through the effective date of
withdrawal, including any obligations, the performance of which extends beyond
the effective date of withdrawal.

(4) Reinstatement following withdrawal of any compacting
state shall occur upon the withdrawing state reenacting the compact or upon
such later date as determined by the Interstate Commission.

Section B. Default

(5) If the Interstate Commission determines that any
compacting state has at any time defaulted (defaulting state) in the
performance of any of its obligations or responsibilities under this compact,
the bylaws or any duly promulgated rules, the Interstate Commission may impose
any or all of the following penalties:

(a) Fines, fees and costs in such amounts as are deemed
to be reasonable as fixed by the Interstate Commission.

(b) Remedial training and technical assistance as
directed by the Interstate Commission.

(c) Suspension and termination of membership in the compact.
Suspension shall be imposed only after all other reasonable means of securing
compliance under the bylaws and rules have been exhausted. Immediate notice of
suspension shall be given by the Interstate Commission to the governor, the
chief justice or chief judicial officer of the state, the majority and minority
leaders of the defaulting states legislature, and the State Council.

(6) The grounds for default include, but are not limited
to, failure of a compacting state to perform such obligations or
responsibilities imposed upon it by this compact, Interstate Commission bylaws
or duly promulgated rules. The Interstate Commission shall immediately notify
the defaulting state in writing of the penalty imposed by the Interstate
Commission on the defaulting state pending a cure of the default. The
Interstate Commission shall stipulate the conditions and the time period within
which the defaulting state must cure its default. If the defaulting state fails
to cure the default within the time period specified by the Interstate
Commission, in addition to any other penalties imposed herein, the defaulting
state may be terminated from the compact upon an affirmative vote of a majority
of the compacting states and all rights, privileges and benefits conferred by
this compact shall be terminated from the effective date of suspension.

(7) Within 60 days of the effective date of termination
of a defaulting state, the Interstate Commission shall notify the governor, the
chief justice or chief judicial officer and the majority and minority leaders
of the defaulting states legislature and the State Council of such
termination.

(8) The defaulting state is responsible for all
assessments, obligations and liabilities incurred through the effective date of
termination, including any obligations, the performance of which extends beyond
the effective date of termination.

(9) The Interstate Commission shall not bear any costs
relating to the defaulting state unless otherwise mutually agreed upon between
the Interstate Commission and the defaulting state.

(10) Reinstatement following termination of any
compacting state requires both a reenactment of the compact by the defaulting
state and the approval of the Interstate Commission pursuant to the rules.

Section C. Judicial Enforcement

(11) The Interstate Commission may, by majority vote of
the members, initiate legal action in the United States District Court for the
District of Columbia or, at the discretion of the Interstate Commission, in the
federal district where the Interstate Commission has its offices to enforce
compliance with the provisions of the compact, its duly promulgated rules and
bylaws, against any compacting state in default. In the event judicial
enforcement is necessary, the prevailing party shall be awarded all costs of
such litigation including reasonable attorneys fees.

Section D. Dissolution of Compact

(12) The compact dissolves effective upon the date of
the withdrawal or default of the compacting state which reduces membership in
the compact to one compacting state. Upon the dissolution of this compact, the
compact becomes null and void and shall be of no further force or effect, and
the business and affairs of the Interstate Commission shall be wound up and any
surplus funds shall be distributed in accordance with the bylaws.

(1) The provisions of this compact shall be severable,
and if any phrase, clause, sentence or provision is deemed unenforceable, the
remaining provisions of the compact shall be enforceable.

(2) The provisions of this compact shall be liberally
construed to effectuate its purposes.

ARTICLE XIV. BINDING EFFECT OF COMPACT
AND OTHER LAWS

Section A. Other Laws

(1) Nothing herein prevents the enforcement of any other
law of a compacting state that is not inconsistent with this compact.

(2) The laws of this state, other than the constitution
of the State of Nevada, that conflict with this compact are superseded to the
extent of the conflict.

Section B. Binding Effect of the Compact

(3) All lawful actions of the Interstate Commission,
including all rules and bylaws promulgated by the Interstate Commission, are
binding upon the compacting states.

(4) All agreements between the Interstate Commission and
the compacting states are binding in accordance with their terms.

(5) Upon the request of a party to a conflict over
meaning or interpretation of Interstate Commission actions, and upon a majority
vote of the compacting states, the Interstate Commission may issue advisory
opinions regarding such meaning or interpretation.

(6) In the event any provision of this compact exceeds
the constitutional limits imposed on the legislature of any compacting state,
the obligations, duties, powers or jurisdiction sought to be conferred by such
provision upon the Interstate Commission shall be ineffective and such
obligations, duties, powers or jurisdiction shall remain in the compacting
state and shall be exercised by the agency thereof to which such obligations,
duties, powers or jurisdiction are delegated by law in effect at the time this
compact becomes effective.

(7) This state is bound by the bylaws and rules
promulgated under this compact only to the extent that the operation of the
bylaws and rules does not impose an obligation exceeding any limitation on
state power or authority contained in the constitution of the State of Nevada
as interpreted by the courts of this state.

Sec. 2. NRS 213.15103 is hereby amended to read as
follows:

213.15103 1. If a parolee is incarcerated in a county
jail for a violation of a condition of his parole or because his residential
confinement is terminated pursuant to NRS 213.15198, the sheriff of that county
shall notify the chief. If there are no other criminal charges pending or
warrants outstanding for the parolee, the division shall take custody of the
parolee within:

(a) Five working days after the inquiry held pursuant to
NRS 213.1511 is conducted.

(b) Five working days after receiving notice from the
sheriff if the parolee was paroled by another state and is under supervision in
this state pursuant to [NRS 213.180 to 213.210, inclusive.] section 1 of this act.

2. If the division fails to take custody of a parolee
within the time required by subsection 1, the division shall reimburse the
county in which the jail is situated, at a daily rate to be determined by the
board of county commissioners for that county, for the cost of housing the
parolee each day the parolee is incarcerated in the jail. If the division does
not certify in writing within:

(a) Five working days after the inquiry held pursuant to
NRS 213.1511 is conducted; or

(b) Five working days after receiving notice from the
sheriff if the parolee was paroled by another state and is under supervision in
this state pursuant to [NRS 213.180 to 213.210, inclusive,] section 1 of this act,

that continued incarceration of the parolee is necessary, the
sheriff may, if there are no other criminal charges pending or warrants
outstanding for the parolee, release him from custody.

3. The provisions of this section do not apply if the
division has entered into an agreement with a county that provides otherwise.

Sec. 3. NRS 213.1517 is hereby amended to read as
follows:

213.1517 1. Where the inquiring officer has determined
that there is probable cause for a hearing by the board, the chief may, after
consideration of the case and pending the next meeting of the board:

(a) Release the arrested parolee again upon parole;

(b) Order the parolee to be placed in residential
confinement in accordance with the provisions of NRS 213.15193, 213.15195 and
213.15198; or

(b) Thirty days if the prisoner was paroled by the authority
of another state and is under supervision in this state pursuant to [NRS
213.180 to 213.210, inclusive.]section 1 of this act. This paragraph does not
apply to a parolee who is retaken by an officer of the sending state.

3. If a determination has been made that probable cause
exists for the continued detention of a paroled prisoner, the board shall
consider the prisoners case within 60 days after his return to the custody of
the department of prisons or his placement in residential confinement pursuant
to subsection 1.

2. Upon enactment of the Interstate Compact for Adult
Offender Supervision into law by the 35th jurisdiction,

whichever is later.

________

κ2001
Statutes of Nevada, Page 2371κ

CHAPTER 461, SB 207

Senate
Bill No. 207Committee on Human Resources and Facilities

CHAPTER 461

AN ACT relating to public welfare; requiring the department
of human resources to establish, upon approval of the interim finance
committee, a program for the provision of medical assistance to certain working
persons with disabilities; and providing other matters properly relating
thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. Chapter 422 of NRS is hereby amended
by adding thereto a new section to read as follows:

1. Upon approval of the interim finance committee, the
director, through the division of health care financing and policy, shall
establish a program for the provision of medical assistance to certain persons
who are employed and have disabilities. The director shall establish the
program by:

(a) Amending the state plan for Medicaid in the manner
set forth in 42 U.S.C. § 1396a(a)(10)(A)(ii)(XIII);

(b) Amending the state plan for Medicaid in the manner
set forth in 42 U.S.C. § 1396a(a)(10)(A)(ii)(XV); or

(c) Obtaining a Medicaid waiver from the federal
government to carry out the program.

2. The director may require a person participating in a
program established pursuant to subsection 1 to pay a premium or other
cost-sharing charges in a manner that is consistent with federal law.

(a) Shall appoint, with the consent of the governor,
administrators of the divisions of the department, who are respectively
designated as follows:

(1) The administrator of the aging services
division;

(2) The administrator of the health division;

(3) The state welfare administrator;

(4) The administrator of the division of child and
family services; and

(5) The administrator of the division of health care
financing and policy.

(b) Shall administer, through the divisions of the
department, the provisions of chapters 210, 423, 424, 425, 427A, 432A to 442,
inclusive, 446 to 450, inclusive, of NRS, NRS 127.220 to 127.310, inclusive, 422.001
to 422.410, inclusive, and section
1 of this act, 422.580, 432.010 to 432.139, inclusive, 444.003 to
444.430, inclusive, and 445A.010 to 445A.055, inclusive, and all other
provisions of law relating to the functions of the divisions of the department,
but is not responsible for the clinical activities of the health division or
the professional line activities of the other divisions.

(c) Shall, after considering advice from agencies of
local governments and nonprofit organizations which provide social services,
adopt a master plan for the provision of human services in this state. The
director shall revise the plan biennially and deliver a copy of the plan to the
governor and the legislature at the beginning of each regular session. The plan
must:

(1) Identify and assess the plans and programs of
the department for the provision of human services, and any duplication of
those services by federal, state and local agencies;

(2) Set forth priorities for the provision of those
services;

(3) Provide for communication and the coordination
of those services among nonprofit organizations, agencies of local government,
the state and the Federal Government;

(4) Identify the sources of funding for services
provided by the department and the allocation of that funding;

(5) Set forth sufficient information to assist the
department in providing those services and in the planning and budgeting for
the future provision of those services; and

(6) Contain any other information necessary for the
department to communicate effectively with the Federal Government concerning
demographic trends, formulas for the distribution of federal money and any need
for the modification of programs administered by the department.

(d) May, by regulation, require nonprofit organizations
and state and local governmental agencies to provide information to him
regarding the programs of those organizations and agencies, excluding detailed
information relating to their budgets and payrolls, which he deems necessary
for his performance of the duties imposed upon him pursuant to this section.

(e) Has such other powers and duties as are provided by law.

2. The governor shall appoint the administrator of the
division of mental health and developmental services.

Sec. 3. The
director of the department of human resources shall submit a proposal for a
program to be established pursuant to section 1 of this act to the interim
finance committee for its approval at its first meeting after March 1, 2002.
The proposal must be designed, to the extent practicable, to:

1. Require no
funding from the state general fund; and

2. If approved by the interim finance committee, begin
operating based on a schedule to develop and carry out the program that is
agreed upon by the department of human resources, the interim finance committee
and the Federal Government.

Sec. 4. This act becomes effective on July 1, 2001.

________

κ2001
Statutes of Nevada, Page 2373κ

CHAPTER 462, SB 232

Senate Bill No.
232Committee on Judiciary

CHAPTER 462

AN ACT relating to juvenile justice; providing for the
collection of information on the economic background of each child referred to
the system of juvenile justice; requiring each local juvenile probation
department to determine whether children of racial or ethnic minorities and
children from economically disadvantaged homes are receiving disparate
treatment in the system of juvenile justice; and providing other matters
properly relating thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. NRS 62.910 is hereby amended to read as follows:

62.910 1. The division [of child and family
services of the department of human resources] shall
establish a standardized system for the reporting, collection, analysis,
maintenance and retrieval of information concerning juvenile justice in this
state. The division is responsible for the retrieval and analysis of the
categories of information contained in the standardized system and the
development of any reports from that information.

2. Except as otherwise provided in subsection 4, the
standardized system must collect, categorize and maintain the following
information from the juvenile courts, local juvenile probation departments, and
the staff of the youth correctional services , as directed by the department ,[of human resources,]
regarding each child referred to the system of juvenile justice in this state:

(1) The age, sex and race or other ethnic background
of the child; [and]

(2) The composition of the household in which the
child resides; and

(3) The
economic background of the child;

(c) The charges for which the child is referred;

(d) The dates of any detention of the child;

(e) The nature of the disposition of each referral of the
child;

(f) The dates any petitions are filed regarding the
child, and the charges set forth in those petitions; and

(g) The disposition of any petitions filed regarding the
child, including any applicable findings.

3. In addition to the information required pursuant to
subsection 2 and except as otherwise provided in subsection 4, the department [of
human resources] shall require the staff of the youth
correctional services to collect and transmit the following information to the
standardized system regarding each child committed to or otherwise placed in
the custody of the division : [of
child and family services:]

(a) A record of each placement of the child, including,
without limitation, the period of each placement and the services provided to
the child during each placement;

(b) The dates of each release of the child, including any
release of the child on parole;

(c) If the child is released on parole, the period of
each release and the services provided to the child during each release; and

(d) The nature of or reason for each discharge of the
child from the custody of the division .[of child and family
services.]

4. The information maintained in the standardized system
must not include the name or address of any person.

5. The division [of child and family
services] shall adopt such regulations as are necessary to
carry out the provisions of this section, including requirements for the
transmittal of information required from the juvenile courts, local juvenile
probation departments, and the staff of the youth correctional services , as directed by the
department ,[of
human resources,] to the standardized system.

6. Each juvenile court and local juvenile probation
department, and the staff of the youth correctional services as directed by the
department ,[of
human resources,] shall comply with the regulations
adopted pursuant to subsection 5.

7. On or before January 31 of each year, each local
juvenile probation department shall:

(a) Analyze
the information it submitted to the standardized system during the previous
year pursuant to this section to determine whether children of racial or ethnic
minorities and children from economically disadvantaged homes are receiving
disparate treatment in the system of juvenile justice in comparison to the
general population;

(b) As necessary, develop appropriate recommendations to
address any such disparate treatment; and

(c) Prepare and submit to the division a
report which includes the results of the analysis it conducted pursuant to
paragraph (a) and any recommendations it developed pursuant to paragraph (b).

8. The
division shall annually compile the reports it receives pursuant to subsection
7 and publish a document which includes a compilation of the reports.

9. As used
in this section:

(a) Department
means the department of human resources.

(b) Division
means the division of child and family services of the department.

________

CHAPTER 463, SB 321

Senate
Bill No. 321Senator McGinness

CHAPTER 463

AN ACT relating to public welfare; requiring the state
controller to transfer a certain amount of money from the intergovernmental
transfer account in the state general fund to the fund for the institutional
care of the medically indigent; and providing other matters properly relating
thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. 1. The state controller shall, as soon as
practicable after June 30, 2001, transfer the sum of $500,000 from the
intergovernmental transfer account in the state general
fund to the fund for the institutional care of the medically indigent created
by NRS 428.470.

transfer account in the state general fund to the fund for the
institutional care of the medically indigent created by NRS 428.470.

2. The money transferred pursuant to subsection 1 may be used
to provide assistance to a county for a payment required by an interlocal
agreement that became due during the fiscal year 2000-2001.

Sec. 2. This act becomes effective on July 1, 2001.

________

CHAPTER 464, SB 356

Senate
Bill No. 356Senator OConnell

CHAPTER 464

AN ACT relating to the secretary of state; requiring the
secretary of state to post a notice advising customers to review the documents
on file at the office of the secretary of state for content, completeness and
accuracy and indicating the penalty for knowingly offering any false or forged
instrument for filing; authorizing the secretary of state to adopt regulations
to prevent the filing of false or forged documents; and providing other matters
properly relating thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1.Chapter 225 of NRS is hereby amended by adding thereto a new section to
read as follows:

1. The secretary of state shall
prominently post the following notice at each office and each location on his
Internet website at which documents are accepted for filing:

The Secretary of State is not responsible for the content,
completeness or accuracy of any document filed in this office. Customers should
periodically review the documents on file in this office to ensure that the
documents pertaining to them are complete and accurate.

Pursuant to NRS 239.330, any person who knowingly offers any
false or forged instrument for filing in this office is guilty of a category C
felony and shall be punished by imprisonment in the state prison for a minimum
term of not less than 1 year and a maximum term of not more than 5 years and
may be further punished by a fine of not more than $10,000. Additionally, any
person who knowingly offers any false or forged instrument for filing in this
office may also be subject to civil liability.

2. The secretary of state may adopt regulations
prescribing procedures to prevent the filing of false or forged documents in
his office.

AN ACT relating to health care; expanding the authority
of the legislative committee on health care to review certain issues relating
to long-term care; and providing other matters properly relating thereto.

[Approved: June 6, 2001]

Whereas, The requirement that
persons in this state impoverish themselves to become eligible for long-term
care benefits places many persons in need of long-term care in a very difficult
situation when determining how to receive the health care services that they need
to survive; and

Whereas, The growing number of
persons in need of long-term care is of grave concern to the legislature; and

Whereas, Issues relating to long-term
care would be most appropriately reviewed by a permanent task force; and

Whereas, Until such a task force is
established, those issues would be most appropriately reviewed by the
legislative committee on health care; now therefore,

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. NRS 439B.220 is hereby amended to
read as follows:

439B.220 The committee may:

1. Review and evaluate the quality and effectiveness of
programs for the prevention of illness.

2. Review and compare the costs of medical care among
communities in Nevada with similar communities in other states.

3. Analyze the overall system of medical care in the
state to determine ways to coordinate the providing of services to all members
of society, avoid the duplication of services and achieve the most efficient
use of all available resources.

4. Examine the business of providing insurance,
including the development of cooperation with health maintenance organizations
and organizations which restrict the performance of medical services to certain
physicians and hospitals, and procedures to contain the costs of these
services.

5. Examine hospitals to:

(a) Increase cooperation among hospitals;

(b) Increase the use of regional medical centers; and

(c) Encourage hospitals to use medical procedures which
do not require the patient to be admitted to the hospital and to use the
resulting extra space in alternative ways.

6. Examine medical malpractice.

7. Examine the system of education to coordinate:

(a) Programs in health education, including those for the
prevention of illness and those which teach the best use of available medical
services; and

8. Review competitive mechanisms to aid in the reduction
of the costs of medical care.

9. Examine the problem of providing and paying for
medical care for indigent and medically indigent persons, including medical
care provided by physicians.

10. Examine the effectiveness of any legislation enacted
to accomplish the purpose of restraining the costs of health care while
ensuring the quality of services, and its effect on the subjects listed in
subsections 1 to 9, inclusive.

11. Determine whether regulation by the state will be
necessary in the future by examining hospitals for evidence of:

(a) Degradation or discontinuation of services previously
offered, including without limitation, neonatal care, pulmonary services and
pathology services; or

(b) A change in the policy of the hospital concerning
contracts,

as a result of any legislation enacted to accomplish the
purpose of restraining the costs of health care while ensuring the quality of
services.

12. Study the effect of the acuity of the care provided
by a hospital upon the revenues of hospital and upon limitations upon that
revenue.

13. Review the actions of the director in administering
the provisions of this chapter and adopting regulations pursuant to those
provisions. The director shall report to the committee concerning any
regulations proposed or adopted pursuant to this chapter.

14. Identify
and evaluate, with the assistance of an advisory group, the alternatives to
institutionalization for providing long-term care, including, without
limitation:

(a) An
analysis of the costs of the alternatives to institutionalization and the costs
of institutionalization for persons receiving long-term care in this state;

(b) A
determination of the effects of the various methods of providing long-term care
services on the quality of life of persons receiving those services in this
state;

(c) A
determination of the personnel required for each method of providing long-term
care services in this state; and

(d) A
determination of the methods for funding the long-term care services provided
to all persons who are receiving or who are eligible to receive those services
in this state.

15. Evaluate,
with the assistance of an advisory group, the feasibility of obtaining a waiver
from the Federal Government to integrate and coordinate acute care services
provided through Medicare and long-term care services provided through Medicaid
in this state.

16. Evaluate,
with the assistance of an advisory group, the feasibility of obtaining a waiver
from the Federal Government to eliminate the requirement that elderly persons
in this state impoverish themselves as a condition of receiving assistance for
long-term care.

17.
Conduct investigations and hold hearings in connection with its review and
analysis.

[15.] 18. Apply for any available grants and
accept any gifts, grants or donations to aid the committee in carrying out its
duties pursuant to this chapter.

[16.] 19. Direct the legislative counsel bureau to
assist in its research, investigations, review and analysis.

[17.] 20. Recommend to the legislature as a result
of its review any appropriate legislation.

Sec. 2. This act becomes effective on July 1, 2001.

________

CHAPTER 466, SB 431

Senate
Bill No. 431Committee on Finance

CHAPTER 466

AN ACT making an appropriation to the Department of
Museums, Library and Arts for grants for library collections and equipment
requirements; and providing other matters properly relating thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There is hereby appropriated from the state
general fund to the Department of Museums, Library and Arts the sum of
$1,241,690 for grants for library collections and equipment requirements.

Sec. 2. Any remaining balance of the appropriation
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 3. This act becomes effective upon passage and
approval.

________

CHAPTER 467, SB 432

Senate
Bill No. 432Committee on Finance

CHAPTER 467

AN ACT making an appropriation to the Department of
Museums, Library and Arts for the purchase of computer software and equipment;
and providing other matters properly relating thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There is hereby appropriated from the state
general fund to the Department of Museums, Library and Arts the sum of $137,518
for the purchase of computer software and equipment.

Sec. 2. Any remaining balance of the appropriation
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 3. This act becomes effective upon passage and
approval.

________

κ2001
Statutes of Nevada, Page 2379κ

CHAPTER 468, SB 435

Senate
Bill No. 435Committee on Finance

CHAPTER 468

AN ACT making an appropriation to the Division of Mental
Health and Developmental Services of the Department of Human Resources for new
and replacement equipment, maintenance, and new and replacement computer
hardware and software at the Nevada Mental Health Institute; and providing
other matters properly relating thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There is hereby appropriated from the state
general fund to the Division of Mental Health and Developmental Services of the
Department of Human Resources the sum of $439,828 for new and replacement
equipment, maintenance, and new and replacement computer hardware and software
at the Nevada Mental Health Institute.

Sec. 2. Any remaining balance of the appropriation
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 3. This act becomes effective upon passage and
approval.

________

CHAPTER 469, SB 436

Senate
Bill No. 436Committee on Finance

CHAPTER 469

AN ACT making an appropriation to the Department of
Human Resources for new and replacement equipment, operating expenses, and new
and replacement computer hardware and software for the Rural Regional Center of
the Division of Mental Health and Developmental Services; and providing other
matters properly relating thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1.
There is hereby appropriated from the state general fund to the Department of
Human Resources the sum of $33,391 for new and replacement equipment, operating
expenses and new and replacement computer hardware and software for the Rural
Regional Center of the Division of Mental Health and Developmental Services to
be distributed as follows:

1. For new and
replacement equipment........................................................................................ $24,503

2. For operating
expenses for fiscal year 2001-2002..................................................................
$4,444

3. For operating
expenses for fiscal year 2002-2003..................................................................
$4,444

Sec. 2. 1.
Any remaining balance of the appropriation made by subsection 1 of section 1
of this act must not be committed for expenditure after June 30, 2003, and
reverts to the state general fund as soon as all payments of money committed
have been made.

2. Any remaining
balance of the appropriation made by subsection 2 of section 1 of this act must
not be committed for expenditure after June 30, 2002, and reverts to the state
general fund as soon as all payments of money committed have been made.

3. Any remaining
balance of the appropriation made by subsection 3 of section 1 of this act must
not be committed for expenditure after June 30, 2003, and reverts to the state
general fund as soon as all payments of money committed have been made.

Sec. 3. 1.
This section and subsection 1 of section 1 of this act become effective upon
passage and approval.

2. Subsection 2
of section 1 of this act becomes effective on July 1, 2001.

3. Subsection 3 of section 1 of this act becomes effective on
July 1, 2002.

________

CHAPTER 470, SB 437

Senate
Bill No. 437Committee on Finance

CHAPTER 470

AN ACT making an appropriation to the National Judicial
College to assist in securing public and private grants and other funding for
support during the 2001-2003 biennium; and providing other matters properly
relating thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There is hereby appropriated from the state
general fund to the National Judicial College the sum of $450,000 to assist in
securing public and private grants and other funding for support during the
2001-2003 biennium.

Sec. 2. Any remaining balance of the appropriation
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 3. This act becomes effective upon passage and
approval.

________

κ2001
Statutes of Nevada, Page 2381κ

CHAPTER 471, SB 438

Senate Bill No.
438Committee on Finance

CHAPTER 471

AN ACT making an appropriation to the Louis W. McHardy
National College of Juvenile and Family Justice to assist in securing public
and private grants and other funding for support during the 2001-2003 biennium;
and providing other matters properly relating thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There is hereby appropriated from the state
general fund to the Louis W. McHardy National College of Juvenile and Family
Justice the sum of $250,000 to assist in securing public and private grants and
other funding for support during the 2001-2003 biennium.

Sec. 2. Any remaining balance of the appropriation
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 3. This act becomes effective upon passage and
approval.

________

CHAPTER 472, SB 439

Senate Bill No.
439Committee on Finance

CHAPTER 472

AN ACT making an appropriation to the Division of Mental
Health and Developmental Services of the Department of Human Resources for new
and replacement equipment and computer hardware and software at the Desert
Regional Center; and providing other matters properly relating thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There is hereby appropriated from the state
general fund to the Division of Mental Health and Developmental Services of the
Department of Human Resources the sum of $160,581 for new and replacement
equipment and computer hardware and software at the Desert Regional Center.

Sec. 2. Any remaining balance of the appropriation
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 3. This act becomes effective upon passage and
approval.

________

κ2001
Statutes of Nevada, Page 2382κ

CHAPTER 473, SB 440

Senate Bill No.
440Committee on Finance

CHAPTER 473

AN ACT making an appropriation to the Division of Mental
Health and Developmental Services of the Department of Human Resources for new
and replacement equipment and computer hardware and software at the Sierra
Regional Center; and providing other matters properly relating thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There is hereby appropriated from the state
general fund to the Division of Mental Health and Developmental Services of the
Department of Human Resources the sum of $120,512 for new and replacement
equipment and computer hardware and software at the Sierra Regional Center.

Sec. 2. Any remaining balance of the appropriation
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 3. This act becomes effective upon passage and
approval.

________

CHAPTER 474, SB 441

Senate Bill No.
441Committee on Finance

CHAPTER 474

AN ACT making an appropriation to the Department of
Human Resources for new and replacement equipment and computer hardware and
software at the Rural Clinics; and providing other matters properly relating
thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There is hereby appropriated from the state general fund to the Department
of Human Resources the sum of $163,524 for new and replacement equipment and
computer hardware and software at the Rural Clinics to be distributed as
follows:

2. For operating
expenses for fiscal year 2001-2002 ................................................................... $4,440

3. For operating
expenses for fiscal year 2002-2003 ................................................................... $4,440

Sec. 2. 1.
Any remaining balance of the appropriation made by subsection 1 of section 1
of this act must not be committed for expenditure after June 30, 2003, and
reverts to the state general fund as soon as all payments of money committed
have been made.

2. Any remaining
balance of the appropriation made by subsection 2 of section 1 of this act must
not be committed for expenditure after June 30, 2002, and reverts to the state
general fund as soon as all payments of money committed have been made.

3. Any remaining
balance of the appropriation made by subsection 3 of section 1 of this act must
not be committed for expenditure after June 30, 2003, and reverts to the state
general fund as soon as all payments of money committed have been made.

Sec. 3. 1.
This section and subsection 1 of section 1 of this act become effective upon
passage and approval.

2. Subsection 2
of section 1 of this act becomes effective on July 1, 2001.

3. Subsection 3 of section 1 of this act becomes effective on
July 1, 2002.

________

CHAPTER 475, SB 448

Senate Bill No.
448Committee on Finance

CHAPTER 475

AN ACT relating to recreation; revising the particular
purposes and extending the periods for the expenditure of certain money
previously appropriated to the Division of State Parks of the State Department
of Conservation and Natural Resources for park improvement projects; making an
appropriation; and providing other matters properly relating thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1.Section 3 of chapter 201, Statutes of
Nevada 1995, as last amended by section 2 of chapter 567, Statutes of Nevada
1999, at page 2972, is hereby amended to read as follows:

Sec. 3. The state controller
shall provide for the payment of claims legally obligated in each fiscal year
on behalf of the division of state parks of the state department of
conservation and natural resources for the purposes set forth:

1. In paragraphs (b) and (e)
of subsection 1 and subsections 2 and 3 of section 2 of chapter 201, Statutes
of Nevada 1995, until the last Friday of August immediately following the end
of fiscal year 1996-97;

2. In paragraphs (f) and (g)
of subsection 1 of section 2 of chapter 201, Statutes of Nevada 1995, until the
last Friday of August immediately following the end of fiscal year 1998-99; [and]

3. In paragraphs [(a),]
(c) and (d) of subsection 1 of section 2 of chapter 201, Statutes of Nevada
1995, until the last Friday of August immediately following the end of fiscal
year 2000-01 [.] ; and

4. In paragraph (a) of subsection 1
of section 2 of chapter 201, Statutes of Nevada 1995, until the last Friday of
August immediately following the end of fiscal year 2002-03.

Sec. 2. Section 5 of chapter 201, Statutes of Nevada 1995,
as last amended by section 3 of chapter 567, Statutes of Nevada 1999, at
page 2972, is hereby amended to read as follows:

Sec. 5. Any remaining
balance of the appropriations made by section 2 of chapter 201, Statutes of
Nevada 1995:

1. For use as provided in
paragraphs (b) and (e) of subsection 1 and subsections 2 and 3 of that section,
must not be committed for expenditure after June 30, 1997, and reverts to the
state general fund as soon as all payments of money committed have been made.

2. For use as provided in
paragraphs (f) and (g) of subsection 1 of that section, must not be committed
for expenditure after June 30, 1999, and reverts to the state general fund as
soon as all payments of money committed have been made.

3. For use as provided in
paragraphs [(a),] (c) and (d) of subsection 1 of
that section, must not be committed for expenditure after June 30, 2001, and
reverts to the state general fund as soon as all payments of money committed
have been made.

4. For use as provided in paragraph (a) of subsection 1 of
that section, must not be committed for expenditure after June 30, 2003, and
reverts to the state general fund as soon as all payments of money committed
have been made.

Sec. 3. Section 1 of chapter 536, Statutes of Nevada 1997,
as amended by section 4 of chapter 567, Statutes of Nevada 1999, at page 2973,
is hereby amended to read as follows:

Section 1. There is hereby
appropriated from the state general fund to the Division of State Parks of the
State Department of Conservation and Natural Resources the sum of $1,566,393
for park improvement projects. The money must be used as follows:

1. Fort Churchill State
Historic Park, Kershaw-Ryan State
Park or other parks or recreation areas, $30,000.

2. Lake Tahoe Nevada State
Park, Valley of Fire State Park or other parks or recreation areas, $295,603.

6. Rye Patch State
Recreation Area , [or]
Ward Charcoal Ovens State Historic Park, Valley of Fire State Park or other parks or recreation
areas, $415,308.

7. Lahontan State Recreation
Area, $40,250.

8. Floyd Lamb State Park, Valley
of Fire State Park or other parks or recreation areas, $35,607.

9. To prepare a preliminary
master plan to provide direction for the development and operation of a
historic park in Las Vegas, $250,000.

Sec. 4. Section 2 of chapter 536, Statutes of Nevada 1997,
as amended by section 5 of chapter 567, Statutes of Nevada 1999, at page 2973,
is hereby amended to read as follows:

Sec. 2. The State Controller
shall provide for the payment of claims legally obligated in each fiscal year
on behalf of the Division of State Parks of the State Department of
Conservation and Natural Resources for the purposes set forth:

1. In subsections 4, 5, 7
and 9 of section 1 of chapter 536, Statutes of Nevada 1997, until the last
Friday in August immediately following the end of the fiscal year 1998-1999;
and

2. In subsections 1, 2, 3, 6 and
8 of section 1 of chapter 536, Statutes of Nevada 1997, until the last Friday
in August immediately following the end of the fiscal year [2000-01.] 2002-03.

Sec. 5. Section 4 of chapter 536, Statutes of Nevada 1997,
as amended by section 6 of chapter 567, Statutes of Nevada 1999, at page 2973,
is hereby amended to read as follows:

Sec. 4. Any remaining
balance of the appropriation made by section 1 of chapter 536, Statutes of
Nevada 1997:

1. For use as provided in
subsections 4, 5, 7 and 9 of that section must not be committed for expenditure
after June 30, 1999, and reverts to the state general fund as soon as all
payments of money committed have been made.

2. For use as provided in
subsections 1, 2, 3, 6 and 8 of that section must not be committed for
expenditure after June 30, [2001,]2003, and reverts to the state general fund as
soon as all payments of money committed have been made.

Sec. 6. There is hereby appropriated from the state
general fund to the State Department of Conservation and Natural Resources the
sum of $500,000 for improvement projects at state parks.

Sec. 7. Any remaining balance of the appropriation
made by section 6 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 8. This act becomes effective upon passage and
approval.

________

CHAPTER 476, SB 450

Senate Bill No.
450Committee on Finance

CHAPTER 476

AN ACT making an appropriation to the State Department
of Agriculture for vehicles and new equipment; and providing other matters
properly relating thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There is hereby appropriated from the state
general fund to the State Department of Agriculture the sum of $202,440 for
vehicles and new equipment.

Sec. 2. Any remaining balance of the appropriation
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 3. This act becomes effective upon passage and
approval.

________

κ2001
Statutes of Nevada, Page 2386κ

CHAPTER 477, SB 455

Senate Bill No.
455Committee on Finance

CHAPTER 477

AN ACT making an appropriation to the Department of
Human Resources for new and replacement equipment, and hardware and software at
the Lakes Crossing Center; and providing other matters properly relating
thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There is hereby appropriated from the state
general fund to the Department of Human Resources the sum of $92,100 for new
and replacement equipment, and hardware and software at the Lakes Crossing
Center.

Sec. 2. Any remaining balance of the appropriation
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 3. This act becomes effective upon passage and
approval.

________

CHAPTER 478, SB 456

Senate Bill No.
456Committee on Finance

CHAPTER 478

AN ACT making an appropriation to the Division of Child
and Family Services of the Department of Human Resources for new and
replacement equipment at the Southern Nevada Child and Adolescent Services
Juvenile Treatment Facility; and providing other matters properly relating
thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There is hereby appropriated from the state
general fund to the Division of Child and Family Services of the Department of
Human Resources the sum of $148,150 for new and replacement equipment at the
Southern Nevada Child and Adolescent Services Juvenile Treatment Facility.

Sec. 2. Any remaining balance of the appropriation
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 3. This act becomes effective upon passage and
approval.

________

κ2001
Statutes of Nevada, Page 2387κ

CHAPTER 479, SB 457

Senate Bill No.
457Committee on Finance

CHAPTER 479

AN ACT relating to state financial administration;
making an appropriation to the Department of Museums, Library and Arts for a
conservation laboratory; extending the reversion date for a prior appropriation
made to the Department; and providing other matters properly relating thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There is hereby appropriated from the state
general fund to the Department of Museums, Library and Arts the sum of $40,000
for a conservation laboratory.

Sec. 2. Any remaining balance of the appropriation
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 2. Any remaining balance of
the appropriation made by section 1 of this act must not be committed for
expenditure after [June 30, 2001,]December 31, 2001, and reverts to the state
general fund as soon as all payments of money committed have been made.

Sec. 4. This act becomes effective upon passage and
approval.

________

CHAPTER 480, SB 461

Senate Bill No.
461Committee on Finance

CHAPTER 480

AN ACT making an appropriation to the University and
Community College System of Nevada for new and replacement equipment and
associated software in the computing center; and providing other matters
properly relating thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There is hereby appropriated from the state
general fund to the University and Community College System of Nevada the sum
of $2,523,863 for new and replacement equipment and associated software in the
computing center.

Sec. 2. Any remaining balance of the appropriation
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 3. This act becomes effective upon passage and approval.

________

κ2001
Statutes of Nevada, Page 2388κ

CHAPTER 481, SB 478

Senate Bill No.
478Committee on Taxation

CHAPTER 481

AN ACT relating to motor vehicles; authorizing the state
department of conservation and natural resources to develop and carry out a
program to encourage certain persons to use clean-burning fuel in motor
vehicles; and providing other matters properly relating thereto.

[Approved: June 6, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1.Chapter 486A of NRS is hereby amended by adding thereto a new section
to read as follows:

1. After
consulting with the department of business and industry, the department may,
within limits of legislative appropriations or authorizations or grants
available for this purpose, develop and carry out a program to provide
incentives to encourage those persons who are not otherwise required to do so
pursuant to NRS 486A.010 to 486A.180, inclusive, to use clean-burning fuel in
motor vehicles. The program may include, without limitation, a method of
educating the members of the general public concerning:

(a) The program
administered by the department; and

(b) The benefits
of using clean-burning fuel in motor vehicles.

2. The
department may adopt regulations to carry out the provisions of this section.

(b) Department
means the state department of conservation and natural resources.

(c) Motor
vehicle has the meaning ascribed to it in NRS 365.050.

Sec. 2. NRS 486A.020 is hereby amended to read
as follows:

486A.020 As used in [this chapter]NRS 486A.010 to 486A.180,
inclusive, unless the context otherwise requires, the words and
terms defined in NRS 486A.030 to 486A.130, inclusive, have the meanings
ascribed to them in those sections.

Sec. 3. NRS 486A.140 is hereby amended to read
as follows:

486A.140 The provisions of [this chapter]NRS 486A.010 to 486A.180,
inclusive, do not apply to:

1. The owner of a fleet of motor vehicles that operates
only in a county whose population is less than 100,000.

4. Standards for levels of emissions from motor vehicles
that are converted to use alternative fuels.

5. The establishment of a procedure for approving
exemptions to the requirements of [this chapter.] NRS 486A.010 to 486A.180, inclusive.

Sec. 5. NRS 486A.160 is hereby amended to read
as follows:

486A.160 1. The department shall:

(a) Make such determinations and issue such orders as may
be necessary to carry out the provisions of [this chapter;] NRS 486A.010 to 486A.180, inclusive;

(b) Enforce the regulations adopted by the commission
pursuant to the provisions of [this chapter;]NRS 486A.010 to 486A.180, inclusive; and

(c) Conduct any investigation, research or study
necessary to carry out the provisions of [this chapter.] NRS 486A.010 to 486A.180, inclusive.

2. Upon request, the department of motor vehicles and public
safety shall provide to the department information contained in records of
registration of motor vehicles.

Sec. 6. NRS 486A.170 is hereby amended to read
as follows:

486A.170 1. An authorized representative of the
department may enter and inspect any fleet of 10 or more motor vehicles that is
subject to the requirements of [this chapter]NRS 486A.010 to 486A.180, inclusive, to
ascertain compliance with the provisions of [this chapter]NRS 486A.010 to 486A.180,
inclusive, and regulations adopted pursuant thereto.

2. A person who owns or leases a fleet of 10 or more
vehicles shall not:

(a) Refuse entry or access to the motor vehicles to any
authorized representative of the department who requests entry for the purpose
of inspection as provided in subsection 1.

(b) Obstruct, hamper or interfere with any such inspection.

3. If requested by the owner or lessor of a fleet of
motor vehicles, the department shall prepare a report of an inspection made
pursuant to subsection 1 setting forth all facts determined which relate to the
owners or lessors compliance with the provisions of [this chapter]NRS 486A.010 to 486A.180,
inclusive, and any regulations adopted pursuant thereto.

Sec. 7. NRS 486A.180 is hereby amended to read
as follows:

486A.180 1. Except as otherwise provided in subsection
4, any person who violates any provision of [this chapter]NRS 486A.010 to 486A.180,
inclusive, or any regulation adopted pursuant thereto, is guilty
of a civil offense and shall pay an administrative fine levied by the
commission of not more than $5,000. Each day of violation constitutes a
separate offense.

2. The commission shall by regulation establish a
schedule of administrative fines of not more than $1,000 for lesser violations
of any provision of [this chapter]NRS 486A.010 to 486A.180, inclusive, or any
regulation in force pursuant thereto.

3. Action pursuant to subsection 1 or 2 is not a bar to
enforcement of the provisions of [this chapter]NRS 486A.010 to 486A.180, inclusive, and
regulations in force pursuant thereto, by injunction or other appropriate
remedy. The commission or the director of the department [of conservation and
natural resources] may institute and maintain in the name
of the State of Nevada any such enforcement proceeding.

4. A person who fails to pay a fine levied pursuant to
subsection 1 or 2 within 30 days after the fine is imposed is guilty of a
misdemeanor. The provisions of this subsection do not apply to a person found
by the court to be indigent.

5. The commission and the department shall deposit all money
collected pursuant to this section in the state general fund. Money deposited
in the state general fund pursuant to this subsection must be accounted for
separately and may only be expended upon legislative appropriation.

________

CHAPTER 482, AB 4

Assembly Bill No.
4Committee on Ways and Means

CHAPTER 482

AN ACT relating to prison industries; allowing money in
the fund for new construction of facilities for prison industries to be used to
expand existing industries; creating the committee on industrial programs;
specifying the powers and duties of the committee on industrial programs;
repealing the statutes creating and governing the advisory board on industrial
programs; and providing other matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. Chapter 209 of NRS is hereby amended
by adding thereto the provisions set forth as sections 2 and 3 of this act.

Sec. 2. 1. The committee on industrial programs is hereby created.

2. The
committee on industrial programs consists of the director of the department of
prisons, the chief of the purchasing division of the department of
administration and eight members appointed by the interim finance committee as
follows:

(a) Two
members of the senate.

(b) Two
members of the assembly.

(c) Two
persons who represent manufacturing in this state.

(d) One
person who represents business in this state.

(e) One
person who represents organized labor in this state.

3. The
members of the committee on industrial programs shall select a chairman from
among their membership.

4. Each
member of the committee on industrial programs appointed by the interim finance
committee must be appointed to a term of 2 years and may be reappointed.

5. Except during
a regular or special session of the legislature, each legislator who is a
member of the committee on industrial programs is entitled to receive the
compensation provided for a majority of the members of the legislature during
the first 60 days of the preceding regular session for each day or portion of a
day during which he attends a meeting of the committee on industrial programs
or is otherwise engaged in the work of the committee on industrial programs.
Each nonlegislative member appointed by the interim finance committee is
entitled to receive compensation for his service on the committee on industrial
programs in the same amount and manner as the legislative members whether or
not the legislature is in session. Each nonlegislative member of the committee on industrial programs is entitled to receive the per diem
allowance and travel expenses provided for state officers and employees
generally.

on industrial
programs is entitled to receive the per diem allowance and travel expenses
provided for state officers and employees generally. Each legislator who is a
member of the committee on industrial programs is entitled to receive the per
diem allowance provided for state officers and employees generally and the
travel expenses provided pursuant to NRS 218.2207. All compensation, allowances
and travel expenses must be paid from the fund for prison industries.

Sec. 3. 1. The committee on industrial programs shall:

(a) Be
informed on issues and developments relating to industrial programs for
correctional institutions;

(b) Submit a
semiannual report to the interim finance committee before July 1 and December 1
of each year on the status of current and proposed industrial programs for
correctional institutions;

(c) Report
to the legislature on any other matter relating to industrial programs for
correctional institutions that it deems appropriate;

(d) Meet at
least quarterly and at the call of the chairman to review the operation of
current and proposed industrial programs;

(e) Recommend
three persons to the director for appointment as the assistant director for
industrial programs whenever a vacancy exists;

(f) Before
any new industrial program is established by the director in an institution of
the department, review the proposed program for compliance with the
requirements of subsections 2, 3 and 4 of NRS 209.461 and submit to the
director its recommendations concerning the proposed program; and

(g) Review
each industry program established pursuant to subsection 2 of NRS 209.461 to
determine whether the program is operating profitably within 3 years after its
establishment. If the committee on industrial programs determines that a
program is not operating profitably within 3 years after its establishment, the
committee on industrial programs shall report its finding to the director with
a recommendation regarding whether the program should be continued or terminated.

2. Upon the
request of the committee on industrial programs, the director and the assistant
director for industrial programs shall provide to the committee on industrial
programs any information the committee on industrial programs determines is
relevant to the performance of the duties of the committee on industrial
programs.

Sec. 4. NRS
209.011 is hereby amended to read as follows:

209.011 As used in this chapter, unless the context otherwise
requires, the terms defined in NRS [209.015]209.021 to 209.085,
inclusive, have the meanings ascribed to them in those sections.

Sec. 5. NRS 209.192 is hereby amended to read as
follows:

209.192 1. There is hereby created in the state
treasury a fund for new construction of facilities for prison industries as a
fund for construction of capital projects. The director shall deposit in the
fund the deductions made pursuant to paragraph (c) of subsection 1 or paragraph
(b) of subsection 2 of NRS 209.463. The money in the fund must only be expended
to house new industries or expand
existing industries in the industrial program [which
will]to provide
additional employment of offenders. The money in the fund must not be expended
for relocating an existing industry in the industrial program[.] unless the existing industry is being
expanded to provide additional employment of offenders.

2. Before money in the fund may be expended for
construction, the director shall submit a proposal for the expenditure to the
state board of examiners. Upon making a determination that the proposed
expenditure is appropriate and necessary, the state board of examiners shall
recommend to the interim finance committee, or the senate standing committee on
finance and the assembly standing committee on ways and means when the
legislature is in general session, that the expenditure be approved. Upon
approval of the appropriate committee or committees, the money may be so
expended.

3. The interest and income earned on the money in the
fund, after deducting any applicable charges, must be credited to the fund.

Sec. 6. NRS 209.459 is hereby amended to
read as follows:

209.459 The director shall present the recommendations of the
[advisory board]committee on industrial programs to the board
of state prison commissioners and, with the approval of the board of state
prison commissioners, establish and carry out a program for the employment of
offenders in services and manufacturing conducted by institutions of the
department or by private employers.

Sec. 7. NRS 209.015, 209.4813 and 209.4814 are hereby
repealed.

Sec. 8. This act becomes effective upon passage and
approval.

________

CHAPTER 483, AB 21

Assembly
Bill No. 21Assemblywoman Cegavske

CHAPTER 483

AN ACT relating to traffic laws; requiring a court to
order a person who is convicted of a second offense of driving under the
influence of intoxicating liquor or a controlled substance within 7 years to
attend a program of treatment for the abuse of alcohol or drugs; increasing the
amount of time that such a person may be placed under the clinical supervision
of a treatment facility; and providing other matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. NRS
484.3792 is hereby amended to read as follows:

484.3792 1. A person who violates the provisions of NRS
484.379:

(a) For the first offense within 7 years, is guilty of a
misdemeanor. Unless he is allowed to undergo treatment as provided in NRS
484.37937, the court shall:

(1) Except as otherwise provided in subsection 6,
order him to pay tuition for an educational course on the abuse of alcohol and
controlled substances approved by the department and complete the course within
the time specified in the order, and the court shall notify the department if
he fails to complete the course within the specified time;

(2) Unless the sentence is reduced pursuant to NRS
484.37937, sentence him to imprisonment for not less than 2 days nor more than
6 months in jail, or to perform not less than 48 hours, but not more than 96
hours, of work for the community while dressed in distinctive garb that
identifies him as having violated the provisions of NRS 484.379; and

(b) For a second offense within 7 years, is guilty of a
misdemeanor. Unless the sentence is reduced pursuant to NRS 484.3794, the court[:

(1) Shall
sentence]shall:

(1) Sentence
him to:

(I) Imprisonment for not less than 10 days nor
more than 6 months in jail; or

(II) Residential confinement for not less than
10 days nor more than 6 months, in the manner provided in NRS 4.376 to 4.3766,
inclusive, or 5.0755 to 5.078, inclusive;

(2) [Shall fine]Fine him not less than $750 nor more than
$1,000;

(3) [Shall order]Order him to perform not less than 100 hours,
but not more than 200 hours, of work for the community while dressed in
distinctive garb that identifies him as having violated the provisions of NRS
484.379, unless the court finds that extenuating circumstances exist; and

(4) [May order]Order him to attend a program of treatment for
the abuse of alcohol or drugs pursuant to the provisions of NRS 484.37945.

A person who willfully fails or refuses to complete
successfully a term of residential confinement or a program of treatment
ordered pursuant to this paragraph is guilty of a misdemeanor.

(c) For a third or subsequent offense within 7 years, is
guilty of a category B felony and shall be punished by imprisonment in the
state prison for a minimum term of not less than 1 year and a maximum term of
not more than 6 years, and shall be further punished by a fine of not less than
$2,000 nor more than $5,000. An offender so imprisoned must, insofar as
practicable, be segregated from offenders whose crimes were violent and,
insofar as practicable, be assigned to an institution or facility of minimum
security.

2. An offense that occurred within 7 years immediately
preceding the date of the principal offense or after the principal offense
constitutes a prior offense for the purposes of this section when evidenced by
a conviction, without regard to the sequence of the offenses and convictions.
The facts concerning a prior offense must be alleged in the complaint,
indictment or information, must not be read to the jury or proved at trial but
must be proved at the time of sentencing and, if the principal offense is
alleged to be a felony, must also be shown at the preliminary examination or
presented to the grand jury.

3. A person convicted of violating the provisions of NRS
484.379 must not be released on probation, and a sentence imposed for violating
those provisions must not be suspended except, as provided in NRS 4.373, 5.055,
484.37937 and 484.3794, that portion of the sentence imposed that exceeds the
mandatory minimum. A prosecuting attorney shall not dismiss a charge of
violating the provisions of NRS 484.379 in exchange for a plea of guilty,
guilty but mentally ill or nolo contendere to a lesser charge or for any other
reason unless he knows or it is obvious that the charge is not supported by
probable cause or cannot be proved at the time of trial.

4. A term of confinement imposed pursuant to the
provisions of this section may be served intermittently at the discretion of
the judge or justice of the peace, except that a person who is convicted of a
second or subsequent offense within 7 years must be confined for at least one
segment of not less than 48 consecutive hours. This discretion must be
exercised after considering all the circumstances surrounding the offense, and
the family and employment of the offender, but any sentence of 30 days or less must
be served within 6 months after the date of conviction
or, if the offender was sentenced pursuant to NRS 484.37937 or 484.3794 and the
suspension of his sentence was revoked, within 6 months after the date of
revocation.

served within 6 months after the date of conviction or, if
the offender was sentenced pursuant to NRS 484.37937 or 484.3794 and the
suspension of his sentence was revoked, within 6 months after the date of
revocation. Any time for which the offender is confined must consist of not
less than 24 consecutive hours.

5. Jail sentences simultaneously imposed pursuant to
this section and NRS 482.456, 483.560 or 485.330 must run consecutively.

6. If the person who violated the provisions of NRS
484.379 possesses a drivers license issued by a state other than the State of
Nevada and does not reside in the State of Nevada, in carrying out the
provisions of subparagraph (1) of paragraph (a) or (b) of subsection 1, the
court shall:

(a) Order the person to pay tuition for and submit
evidence of completion of an educational course on the abuse of alcohol and
controlled substances approved by a governmental agency of the state of his
residence within the time specified in the order; or

(b) Order him to complete an educational course by
correspondence on the abuse of alcohol and controlled substances approved by
the department within the time specified in the order,

and the court shall notify the department if the person fails
to complete the assigned course within the specified time.

7. If the defendant was transporting a person who is
less than 15 years of age in the motor vehicle at the time of the violation,
the court shall consider that fact as an aggravating factor in determining the
sentence of the defendant.

8. As used in this section, unless the context otherwise
requires, offense means:

(a) A violation of NRS 484.379 or 484.3795;

(b) A homicide resulting from driving or being in actual
physical control of a vehicle while under the influence of intoxicating liquor
or a controlled substance or resulting from any other conduct prohibited by NRS
484.379 or 484.3795; or

(c) A violation of a law of any other jurisdiction that
prohibits the same or similar conduct as set forth in paragraph (a) or (b).

Sec. 2. NRS 484.37945 is hereby amended to read as
follows:

484.37945 1. When a program of treatment is ordered
pursuant to paragraph (b) of subsection 1 of NRS 484.3792, the court shall
place the offender under the clinical supervision of a treatment facility for
treatment for a period not
[less than 30 days nor more than 6 months,]to exceed one year, in
accordance with the report submitted to the court pursuant to subsection 3, 4
or 5 of NRS 484.37943. The court [may:] shall:

(a) Order the offender confined in a treatment facility,
then release the offender for supervised aftercare in the community; or

(b) Release the offender for treatment in the community,

for the period of supervision ordered by the court.

2. The court shall:

(a) Require the treatment facility to submit monthly
progress reports on the treatment of an offender pursuant to this section; and

(b) Order the offender, to the extent of his financial
resources, to pay any charges for his treatment pursuant to this section. If
the offender does not have the financial resources to pay all those charges,
the court shall, to the extent possible, arrange for the offender to obtain his
treatment from a treatment facility that receives a
sufficient amount of federal or state money to offset the remainder of the
charges.

treatment facility that receives a sufficient amount of
federal or state money to offset the remainder of the charges.

3. A treatment facility is not liable for any damages to
person or property caused by a person who:

(a) Drives, operates or is in actual physical control of
a vehicle or a vessel under power or sail while under the influence of
intoxicating liquor or a controlled substance; or

(b) Engages in any other conduct prohibited by NRS
484.379, 484.3795, subsection 2 of NRS 488.400, NRS 488.410 or 488.420 or a law
of any other jurisdiction that prohibits the same or similar conduct,

after the treatment facility has certified to his successful
completion of a program of treatment ordered pursuant to paragraph (b) of
subsection 1 of NRS 484.3792.

Sec. 3. The amendatory provisions of this act do not
apply to offenses committed before October 1, 2001.

________

CHAPTER 484, AB 60

Assembly Bill No.
60Assemblyman Beers

CHAPTER 484

AN ACT relating to meetings of public bodies; requiring
a public body to post additional notice of its meetings on its website on the
Internet if the public body maintains such a website; providing an exception;
and providing other matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. NRS 241.020 is hereby amended to
read as follows:

241.020 1. Except as otherwise provided by specific
statute, all meetings of public bodies must be open and public, and all persons
must be permitted to attend any meeting of these bodies. Public officers and
employees responsible for these meetings shall make reasonable efforts to
assist and accommodate physically handicapped persons desiring to attend.

2. Except in an emergency, written notice of all
meetings must be given at least 3 working days before the meeting. The notice
must include:

(a) The time, place and location of the meeting.

(b) A list of the locations where the notice has been
posted.

(c) An agenda consisting of:

(1) A clear and complete statement of the topics
scheduled to be considered during the meeting.

(2) A list describing the items on which action may
be taken and clearly denoting that action may be taken on those items.

(3) A period devoted to comments by the general
public, if any, and discussion of those comments. No action may be taken upon a
matter raised under this item of the agenda until the matter itself has been
specifically included on an agenda as an item upon which action may be taken
pursuant to subparagraph (2).

(a) Posting a copy of the notice at the principal office
of the public body, or if there is no principal office, at the building in
which the meeting is to be held, and at not less than three other separate,
prominent places within the jurisdiction of the public body not later than 9
a.m. of the third working day before the meeting; and

(b) Mailing a copy of the notice to any person who has
requested notice of the meetings of the body in the same manner in which notice
is required to be mailed to a member of the body. A request for notice lapses 6
months after it is made. The public body shall inform the requester of this
fact by enclosure with or notation upon the first notice sent. The notice must
be delivered to the postal service used by the body not later than 9 a.m. of
the third working day before the meeting.

4.
If a public body maintains a
website on the Internet or its successor, the public body shall post notice of
each of its meetings on its website unless the public body is unable to do so
because of technical problems relating to the operation or maintenance of its
website. Notice posted pursuant to this subsection is supplemental to and is
not a substitute for the minimum public notice required pursuant to subsection
3. The inability of a public body to post notice of a meeting pursuant to this
subsection as a result of technical problems with its website shall not be
deemed to be a violation of the provisions of this chapter.

5.
Upon any request, a public body shall provide, at no charge, at least one copy
of:

(a) An agenda for a public meeting;

(b) A proposed ordinance or regulation which will be
discussed at the public meeting; and

(c) Any other supporting material provided to the members
of the body for an item on the agenda, except materials:

(1) Submitted to the public body pursuant to a
nondisclosure or confidentiality agreement;

(2) Pertaining to the closed portion of such a
meeting of the public body; or

(3) Declared confidential by law.

[5.]6. As used in this section, emergency means
an unforeseen circumstance which requires immediate action and includes, but is
not limited to:

(a) Disasters caused by fire, flood, earthquake or other
natural causes; or

(b) Any impairment of the health and safety of the public.

Sec. 2. This act becomes effective on January 1, 2003.

________

κ2001
Statutes of Nevada, Page 2397κ

CHAPTER 485, AB 505

Assembly
Bill No. 505Committee on Ways and Means

CHAPTER 485

AN ACT making an appropriation to the State Department
of Conservation and Natural Resources for replacement equipment for the
Division of State Parks; and providing other matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There is hereby appropriated from the state
general fund to the State Department of Conservation and Natural Resources the
sum of $329,107 for replacement equipment for the Division of State Parks.

Sec. 2. Any remaining balance of the appropriation made
by section 1 of this act must not be committed for expenditure after June 30,
2003, and reverts to the state general fund as soon as all payments of money
committed have been made.

Sec. 3. This act becomes effective upon passage and
approval.

________

CHAPTER 486, AB 508

Assembly
Bill No. 508Committee on Ways and Means

CHAPTER 486

AN ACT making appropriations to the State Department of
Conservation and Natural Resources for new and replacement equipment for the
Division of Water Resources and to the account for the channel clearance,
maintenance, restoration, surveying and monumenting program; and providing
other matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1.
1. There is hereby appropriated from the state general fund to the State
Department of Conservation and Natural resources the sum of $169,411 for new
and replacement equipment for the Division of Water Resources.

2. Any remaining balance of the appropriation made by
subsection 1 must not be committed for expenditure after June 30, 2003, and
reverts to the state general fund as soon as all payments of money committed
have been made.

Sec. 2. There is hereby appropriated from the state
general fund to the account for the channel clearance, maintenance,
restoration, surveying and monumenting program created by NRS 532.230 the sum
of $100,000.

Sec. 3. This act becomes effective upon passage and
approval.

________

κ2001
Statutes of Nevada, Page 2398κ

CHAPTER 487, AB 510

Assembly
Bill No. 510Committee on Ways and Means

CHAPTER 487

AN ACT making an appropriation to the Division of
Forestry of the State Department of Conservation and Natural Resources for
equipment for the suppression of forest fires; and providing other matters
properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There is hereby appropriated from the state
general fund to the Division of Forestry of the State Department of
Conservation and Natural Resources the sum of $36,975 for equipment for the
suppression of forest fires.

Sec. 2. Any remaining balance of the appropriation
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 3. This act becomes effective upon passage and
approval.

________

CHAPTER 488, AB 519

Assembly Bill No.
519Committee on Ways and Means

CHAPTER 488

AN ACT making an appropriation to the Department of
Taxation for implementation of Phase II of the Business Process Re-Engineering
Project, development of a scanning and imaging system, and enhancement of the
Local Government Financial Reporting System; and providing other matters
properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There
is hereby appropriated from the state general fund to the Department of
Taxation the sum of $2,175,000 to be allocated as follows:

1. For
implementation of Phase II of the Business Process Re-Engineering Project, the
sum of $1,300,000

2. For
development of a document scanning and imaging system, the sum of.............. $800,000

3. For
enhancement of the Local Government Financial Reporting System, the sum of $75,000

Sec. 2. Any remaining balance of the appropriation made
by section 1 of this act must not be committed for expenditure after June 30,
2003, and reverts to the state general fund as soon as all payments of money
committed have been made.

Sec. 3. This act becomes effective upon passage and
approval.

________

κ2001
Statutes of Nevada, Page 2399κ

CHAPTER 489, AB 521

Assembly
Bill No. 521Committee on Ways and Means

CHAPTER 489

AN ACT making an appropriation to the Governor for
support of the Nevada Commission for National and Community Service; and
providing other matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1.
1. There is hereby appropriated from the state general fund to the Governor
the sum of $325,000 to grant to the Nevada Commission for National and
Community Service for use as matching money to obtain additional federal
funding to continue its programs dedicated to promoting citizen volunteerism.

2. Upon
acceptance of the money appropriated by subsection 1, the Nevada Commission for
National and Community Service agrees to:

(a) Prepare and
transmit a report to the Interim Finance Committee on or before December 15,
2002, that describes each expenditure made from the money appropriated by
subsection 1 from the date on which the money was received by the Nevada
Commission for National and Community Service through December 1, 2002; and

(b) Upon request of the Legislative Commission, make available
to the Legislative Auditor any of the Nevada Commission for National and
Community Services books, accounts, claims, reports, vouchers or other records
of information, confidential or otherwise and irrespective of their form or
location, that the Legislative Auditor deems necessary to conduct any audit of
the use of the money appropriated pursuant to subsection 1.

Sec. 2. Any remaining balance of the appropriation
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 3. This act becomes effective upon passage and
approval.

________

κ2001
Statutes of Nevada, Page 2400κ

CHAPTER 490, AB 555

Assembly Bill No.
555Committee on Government Affairs

CHAPTER 490

AN ACT relating to public employees retirement;
revising the allowances that may be paid to a retired employee who accepts
employment or an independent contract with a public employer under the public
employees retirement system in a position for which there is a critical labor
shortage; restricting the purchase of service credit by certain members of the
system; limiting the circumstances under which contributions paid toward the
purchase of service credit may be refunded; providing for the immediate
assessment of a penalty if a payroll report is not filed or public employer
contributions are not remitted in a timely manner; requiring the public
employees retirement board to conduct an experience study on the system of the
employment of certain retired employees; and providing other matters properly
relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. Chapter 286 of NRS is hereby amended
by adding thereto a new section to read as follows:

1. The
provisions of subsections 1 and 2 of NRS 286.520 do not apply to a retired
employee who accepts employment or an independent contract with a public
employer under the system if:

(a) He fills a
position for which there is a critical labor shortage; and

(b) At the time of his reemployment, he is receiving:

(1) An unmodified benefit; or

(2) A
benefit actuarially reduced pursuant to subsection 6 of NRS 286.510 and has
reached the required age at which he could have retired with an unmodified
benefit.

2. A retired
employee who is reemployed under the circumstances set forth in subsection 1
may reenroll in the system as provided in NRS 286.525.

3. Positions for
which there are critical labor shortages must be determined as follows:

(a) Except as
otherwise provided in this subsection, the state board of examiners shall
designate positions in state government for which there are critical labor
shortages.

(b) The supreme
court shall designate positions in the judicial branch of state government for
which there are critical labor shortages.

(c) The board of
regents shall designate positions in the University and Community College
System of Nevada for which there are critical labor shortages.

(d) The
department of education shall designate positions with the various school
districts for which there are critical labor shortages.

(e) The governing
body of a local government shall designate positions with the local government
for which there are critical labor shortages.

(f) The board
shall designate positions with the system for which there are critical labor
shortages.

4. In
determining whether a position is a position for which there is a critical
labor shortage, the designating authority shall give consideration to:

(b) The number of
openings for the position and the number of qualified candidates for those
openings;

(c) The length of
time the position has been vacant; and

(d) The success
of recruiting persons in other states to fill the position.

Sec. 2. NRS 286.160 is hereby amended to read as
follows:

286.160 1. The board shall employ an executive officer
who serves at the pleasure of the board. The executive officer shall select an
operations officer, investment officer, assistant investment officer, manager of
information systems, administrative assistant and administrative analyst whose
appointments are effective upon confirmation by the board. The operations
officer, investment officer, assistant
investment officer, manager of information systems,
administrative assistant and administrative analyst serve at the pleasure of
the executive officer.

2. The executive officer, operations officer, investment
officer, assistant investment
officer, manager of information systems, administrative assistant
and administrative analyst are entitled to annual salaries fixed by the board
with the approval of the interim retirement and benefits committee of the
legislature created pursuant to NRS 218.5373. The salaries of these employees
are exempt from the limitations of NRS 281.123.

3. The executive officer must:

(a) Be a graduate of a 4-year college or university with
a degree in business administration or public administration or equivalent
degree.

(b) Possess at least 5 years experience in a high level
administrative or executive capacity, including responsibility for a variety of
administrative functions such as retirement, insurance, investment or fiscal
operations.

4. The operations officer and the investment officer
must each be a graduate of a 4-year college or university with a degree in
business administration or public administration or an equivalent degree.

5. Except as otherwise provided in NRS 284.143, the
executive officer shall not pursue any other business or occupation or perform
the duties of any other office of profit during normal office hours unless on
leave approved in advance. The executive officer shall not participate in any
business enterprise or investment in real or personal property if the system
owns or has a direct financial interest in that enterprise or property.

Sec. 3. NRS 286.200 is hereby amended to read as follows:

286.200 1. Subject to the limitations of this chapter,
the board shall, from time to time, establish rules and regulations for
transacting its business and for administering the system[.] as a public agency. The rules must
include, without limitation, rules relating to the administration of the
retirement plans in accordance with federal law.

2. No rule [shall be]is effective until
10 days after all of the following conditions have been substantially met:

(a) A copy of the rule, in the form in which the board
proposes it, [shall]must be delivered, within 30 days after the
board proposes it, to all public employers participating in the system.

(b) As soon as a public employer receives a copy of the
proposed rule, the public employer immediately shall cause the copy to be
posted on a bulletin board or in some conspicuous place in or near its
headquarters.

(c) [Whenever]If the board deems a proposed rule to be of
such length or of such other nature that it cannot feasibly be publicized by
delivery and posting, [then] a summary of the proposed rule [shall]must be delivered
and posted in the manner and within the time required by
paragraphs (a) and (b) of this subsection for copies of proposed rules.

posted in the manner and within the time required by
paragraphs (a) and (b) of this subsection for copies of proposed rules.

(d) There [shall]must likewise be posted a notice stating that,
at a specifically designated time and place at least 15 days after the delivery
of the copy of the proposed rule or summary, a hearing on the proposed rule [shall]will be held, at
which hearing all interested persons [shall]
have an opportunity to be heard and after which the board may adopt the
proposed rule in the form in which it is originally proposed or with such
amendments as are deemed necessary by the board as a result of the hearing.

(e) A copy of the rule, in the form in which the board
finally [promulgates it, shall]adopts it, must be filed
with the secretary of state.

Sec. 4. NRS 286.300 is hereby amended to read
as follows:

286.300 Except as otherwise required as a result of NRS
286.537:

1. Any member of the system may , except as otherwise provided in subsection 4,
purchase all previous creditable service performed with his present employing
agency if that service was performed before the enrollment of his agency in the
system, even if the service is still creditable in some other system where it
cannot be canceled. The public employer must certify the inclusive dates of
employment and number of hours regularly worked by the member to validate the
service. The member must pay the full actuarial cost as determined by the
actuary.

2. In addition to the purchase authorized pursuant to
the provisions of subsection 1, any member who has 5 years of creditable
service may , except as otherwise
provided in subsection 4, purchase up to 5 years of service. The
member must pay the full actuarial cost of the service as determined by an
actuary of the system.

3. In addition to the purchase authorized pursuant to
the provisions of subsection 1, any member who:

(a) Is a licensed teacher;

(b) Has 5 years of creditable service;

(c) Is, pursuant to statute, regulation or contract,
entitled to payment for unused sick leave; and

(d) Is employed by the board of trustees of a school
district that has, pursuant to subsection 5 of NRS 391.180, provided for the
payment of unused sick leave in the form of purchase of service,

may , except as
otherwise provided in subsection 4, cause to be purchased on his
behalf service credit, not to exceed the number of hours of unused sick leave
or 1 year, whichever is less. The full actuarial cost of the service as determined
by an actuary of the system must be paid for such a purchase. Any service
credit purchased pursuant to this subsection must be included as a part of, and
is not in addition to, service purchased pursuant to subsection 2.

4. A person
who becomes a member of the system for the first time on or after January 1,
2000, may, on or after July 1, 2001, purchase creditable service pursuant to
subsection 1 or 2, or cause to be purchased on his behalf service credit
pursuant to subsection 3, only if, at the time of the purchase, he is employed
by a participating public employer in a position whose occupant is thereby
eligible for membership in the system.

5. Any
member of the system may use:

(a) All or any portion of the balance of the members
interest in a qualified trust pursuant to section 401(a) of the Internal
Revenue Code, 26 U.S.C. § 401(a); or

6. A member
of the system who purchases creditable service pursuant to subsection 1 or 2 is
entitled to receive a refund of any contributions paid toward the purchase of
the service only if he is no longer in the employ of a participating public
employer.

7. If a
member of the system enters into an agreement whereby he agrees to pay for the
purchase of service credit in installments and he defaults on that agreement,
the member is entitled to receive service credit in the proportion that the
principal paid bears to the principal due under the agreement.

Sec. 5. NRS 286.430 is hereby amended to read as
follows:

286.430 1. Except as otherwise provided in subsection 8[,]and NRS 286.300, a member
may withdraw the employee contributions credited to his individual account if:

(a) He has terminated service for which contribution is
required; or

(b) He is employed in a position for which contribution
is prohibited.

2. The system shall not refund these contributions until
it has received:

(a) A properly completed application for refund;

(b) A notice of termination from the members public
employer or a certification by the public employer that the member is employed
in a position for which contribution is prohibited; and

(c) Except as otherwise provided in subsection 3, all
contributions withheld from such members compensation.

3. If a member submits an application for a refund of
his contributions before all of his contributions which were withheld have been
remitted, the system may refund the portion of his contributions which it has
received.

4. If it is determined, after the system has refunded
the contributions of a member, that an additional amount of less than $10 is
due to him, a refund of that amount need not be paid.

5. Refunds, pursuant to this section, must be made by
check mailed to the address specified by a member in his application for
refund.

6. The system shall transfer all money retained pursuant
to subsection 4 and the amount of any unclaimed refund checks to the public
employees retirement fund or the police and firemens retirement fund.

7. All membership rights and active service credit in
the system, including service for which the public employer paid the employee
contributions, are canceled upon the withdrawal of contributions from a
members account.

8. A member who transfers to a position for which
contribution is prohibited must remain in that position for at least 90 days
before he is eligible to receive a refund pursuant to this section.

Sec. 6. NRS 286.460 is hereby amended to read as
follows:

286.460 1. Each participating public employer which
pays compensation to its officers or employees in whole or in part from money
received from sources other than money appropriated from the state general fund, shall pay public employer contributions, or the proper
portion thereof, to the system from the money of the department, board,
commission or agency.

fund, shall pay public employer contributions, or the proper
portion thereof, to the system from the money of the department, board,
commission or agency.

2. Public employer contributions for compensation paid
from the state general fund must be paid directly by each department, board,
commission or other agency concerned, and allowance therefor must be made in
the appropriation made for each department, board, commission or other state
agency.

3. All participating public employers that are required
to make payments pursuant to this section shall file payroll reports not later
than 15 days after the end of the reporting period, together with the
remittance of the amount due to the system. The 15-day limit is extended 1
working day for each legal holiday that falls within the 15-day period and is
officially recognized by the public employer.

4. Payroll reports must contain accurate payroll information [deemed
necessary]and
be filed in a form prescribed by the board. If the payroll
reports are not filed or the amounts due are not remitted within the time
provided, a penalty on the unpaid
balance due must be assessed at a rate of 4 percent more than the
prime rate of interest as published in the Wall Street Journal (Western
Edition) for the first date the payment or report becomes delinquent . [prorated for the period
delinquent, on the unpaid balance due must be assessed at the time of receipt
of the payment or report.]

5. A notice of the penalty assessed must be mailed by
certified mail to the chief administrator of the delinquent public employer.
The public employer shall pay the assessment within 90 days after receipt of
the notice or an additional penalty of 1 percent of the assessment per month
must be imposed until paid. Refusal or failure by the public employer to pay
the assessment within 12 months after receipt is a misdemeanor on the part of
the chief administrator of the delinquent public employer. The retirement board
may accept, no later than 30 days after the notice is received, an appeal from
a public employer for waiver or reduction of a penalty assessed on account of
extenuating circumstances and make any adjustment it deems necessary.

6. Except as otherwise required as a result of NRS
286.537, upon notification that a current employee was not properly enrolled in
the system by the public employer, the public employer shall pay within 90 days
all the employee and employer contributions and the interest that is due as
computed by the system from the first day the employee was eligible for
membership. The public employer is entitled to recover from the employee the
employee contributions and interest thereon.

7. As used in this section, reporting period means the
calendar month for which members compensation and service credits are reported
and certified by participating public employers. Compensation paid during each
month must be reported separately, and retroactive salary increases must be
identified separately for each month to which they apply.

Sec. 7. NRS 286.520 is hereby amended to read as
follows:

286.520 1. Except as otherwise provided in [subsections
4, 5 and 6]this
section and NRS 286.525, and section 1 of this act, the consequences of
the employment of a retired employee are:

(a) A retired employee who accepts employment or an
independent contract with a public employer under this system is disqualified
from receiving any allowances under this system for the duration of that
employment or contract if:

(1) He accepted the employment or contract within 90
calendar days after the effective date of his retirement; or

(2) He is employed in a position which is eligible
to participate in this system.

(b) If a retired employee accepts employment or an
independent contract with a public employer under this system more than 90
calendar days after the effective date of his retirement in a position which is
not eligible to participate in this system, his allowance under this system
terminates upon his earning an amount equal to one-half of the average salary
for participating public employees who are not police officers or firemen in
any fiscal year, for the duration of that employment or contract.

(c) If a retired employee accepts employment with an
employer who is not a public employer under this system, the employee is
entitled to the same allowances as a retired employee who has no employment.

2. The retired employee and the public employer shall
notify the system:

(a) Within 10 days after the first day of an employment
or contract governed by paragraph (a);

(b) Within 30 days after the first day of an employment
or contract governed by paragraph (b); and

(c) Within 10 days after a retired employee earns more
than one-half of the average salary for participating public employees who are
not police officers or firemen in any fiscal year from an employment or
contract governed by paragraph (b),

of subsection 1.

3. For the purposes of this section, the average salary
for participating public employees who are not police officers or firemen must
be computed on the basis of the most recent actuarial valuation of the system.

4. If a retired employee who accepts
employment or an independent contract with a public employer under this system
pursuant to this section elects not to reenroll in the system pursuant to
subsection 1 of NRS 286.525, the public employer with which the retired
employee accepted employment or an independent contract may pay contributions
on behalf of the retired employee to a retirement fund which is not a part of
the system in an amount not to exceed the amount of the contributions that the
public employer would pay to the system on behalf of a participating public
employee who is employed in a similar position.

5. If
a retired employee is chosen by election or appointment to fill an elective
public office, he is entitled to the same allowances as a retired employee who
has no employment, unless he is serving in the same office in which he served
and for which he received service credit as a member. A public employer may pay
contributions on behalf of such a retired employee to a retirement fund which
is not a part of the system in an amount not to exceed the amount of the
contributions that the public employer would pay to the system on behalf of a
participating public employee who serves in the same office.

[5.]6. The system may waive for one period of 30
days or less a retired employees disqualification under this section if the
public employer certifies in writing, in advance, that the retired employee is
recalled to meet an emergency and that no other qualified person is immediately
available.

[6.]7. A person who accepts
employment or an independent contract with either house of the legislature or
by the legislative counsel bureau is exempt from the provisions of subsections
1 and 2 for the duration of that employment or contract.

Sec. 8. The public employees retirement board
shall conduct an experience study on the public employees retirement system of
the employment of retired public employees by public employers that participate
in the public employees retirement system pursuant to section 1 of this act
for the period between July 1, 2001, and July 1, 2004. The public employees
retirement board shall submit a report of the study to the interim retirement
and benefits committee of the legislature on or before December 31, 2004.

Sec. 9. 1. This act becomes effective on July 1,
2001.

2. Section 1 of this act expires by limitation on June 30,
2005.

________

CHAPTER 491, AB 588

Assembly Bill No.
588Committee on Ways and Means

CHAPTER 491

AN ACT making an appropriation to restore the balance in
the emergency account; and providing other matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There is hereby appropriated from the state
general fund to the emergency account, created by NRS 353.263, the sum of
$160,000 to restore the balance in the account.

Sec. 2. This act becomes effective upon passage and
approval.

________

CHAPTER 492, AB 596

Assembly
Bill No. 596Committee on Ways and Means

CHAPTER 492

AN ACT making an appropriation to the Department of
Motor Vehicles and Public Safety for computer upgrades at the Division of
Parole and Probation; and providing other matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There is hereby appropriated from the state
general fund to the Department of Motor Vehicles and Public Safety the sum of
$13,380 for computer upgrades at the Division of Parole and Probation.

Sec. 2. Any remaining balance of the appropriation
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 3. This act becomes effective upon passage and
approval.

________

CHAPTER 493, AB 597

Assembly
Bill No. 597Committee on Ways and Means

CHAPTER 493

AN ACT making an appropriation to the Department of
Motor Vehicles and Public Safety for the purchase of computers for and ongoing
telecommunication costs of the Division of Parole and Probation; and providing
other matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1.
There is hereby appropriated from the state general fund to the Department of
Motor Vehicles and Public Safety the sum of $431,046 for the Division of Parole
and Probation to be distributed as follows:

2. For
telecommunication costs for fiscal year 2001-2002 ...................................................... $62,149

3. For
telecommunication costs for fiscal year 2002-2003 ...................................................... $62,149

Sec. 2. 1.
Any remaining balance of the appropriation made by subsection 1 of section 1 of
this act must not be committed for expenditure after June 30, 2003, and reverts
to the state general fund as soon as all payments of money committed have been
made.

2. Any remaining
balance of the appropriation made by subsection 2 of section 1 of this act must
not be committed for expenditure after June 30, 2002, and reverts to the state
general fund as soon as all payments of money committed have been made.

3. Any remaining balance of the appropriation made by
subsection 3 of section 1 of this act must not be committed for expenditure
after June 30, 2003, and reverts to the state general fund as soon as all
payments of money committed have been made.

Sec. 3. 1.
This section and subsection 1 of section 1 of this act become effective upon
passage and approval.

2. Subsection 2
of section 1 of this act becomes effective on July 1, 2001.

3. Subsection 3 of section 1 of this act becomes effective on
July 1, 2002.

________

κ2001
Statutes of Nevada, Page 2408κ

CHAPTER 494, AB 620

Assembly Bill No.
620Committee on Commerce and Labor

CHAPTER 494

AN ACT relating to contractors; creating a commission on
construction education; creating a construction education account; authorizing
the commission to grant money from the account for programs of construction
education; requiring that certain fines received by the state contractors
board be credited to the construction education account; revising the
exemptions from the provisions governing contractors; removing the requirement
that the board require certain applicants for a contractors license or a
licensee to establish financial responsibility by submitting certain
information; authorizing the board to require an applicant or licensee to
establish financial responsibility; removing provisions that automatically
require the board to hold a hearing if the board refuses to issue or renew a
license; changing certain time requirements relating to hearings; requiring the
board to send a certain notice to an applicant or licensee if the board denies
an application for the issuance or renewal of a license; authorizing an
applicant or licensee whose application for the issuance or renewal of a
license is denied to request a hearing before the board; requiring the board to
hold a hearing if it receives such a request; requiring the board to include
certain information on an application for the issuance or renewal of a license;
and providing other matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. Chapter 624 of NRS is hereby amended
by adding thereto the provisions set forth as sections 2, 3 and 4 of this act.

2. The
commission consists of one member who is a member of the board and six members
appointed by the governor as follows:

(a) Four members
who are representatives of the construction industry; and

(b) Two members
who have knowledge of construction education programs.

3. Each member
of the commission serves a term of 3 years.

4. The members
of the commission who are appointed by the governor serve without compensation,
per diem allowance or reimbursement for travel expenses. While engaged in the
business of the commission, the member who is a member of the board shall
receive from the board the same salary, per diem allowance and reimbursement
for travel expenses he receives while engaged in the business of the board.

5. The
commission shall review programs of education which relate to building
construction and distribute grants from the construction education account
created pursuant to section 3 of this act for programs that the commission
determines qualify for such a grant.

6. The board may
adopt regulations which establish the rules of procedure for meetings of the
commission.

7. The
commission shall adopt regulations providing:

(a) Procedures
for applying for a grant of money from the construction education account;

(b) Procedures
for reviewing an application for a grant from the construction education
account; and

(c) Qualifications
for receiving a grant from the construction education account.

Sec. 3. 1.
There is hereby created a construction education account as a separate account
within the state general fund.

2. Money
deposited in the fund must be used:

(a) Solely for
the purposes of construction education and to pay the costs of the commission
on construction education as described in accordance with subsection 3; and

(b) In addition
to any other money provided for construction education from any other source.

3. The
commission on construction education shall administer the construction
education account and shall disburse the money in the account as follows:

(a) At least 95
percent of the money deposited in the account must be used to fund programs of
education which relate to building construction and which the commission on
construction education determines qualify for grants; and

(b) Not more than
five percent of the money deposited in the account may be reserved for
operating expenses incurred by the commission on construction education
pursuant to this section.

4. The
unexpended and unencumbered balance, if any, remaining in the construction
education account at the end of each fiscal year, must remain in the account.

Sec. 4. 1.
If the board denies an application for issuance or renewal of a license
pursuant to this chapter, the board shall send by certified mail, return
receipt requested, written notice of the denial to the most current address of
the applicant set forth in the records of the board.

2. A notice of
denial must include, without limitation, a statement which explains that the
applicant has a right to a hearing before the board if the applicant submits a
written request for such a hearing to the board within 60 days after the notice
of denial is sent to the address of the applicant pursuant to this section.

3. If an
applicant who receives a notice of denial pursuant to this section desires to
have the denial reviewed at a hearing before the board, he must submit a
written request for a hearing before the board concerning the denial within 60
days after the notice of denial is sent to his address. If an applicant does
not submit notice in accordance with this subsection, the applicants right to
a hearing shall be deemed to be waived.

4. Except as
otherwise provided in this subsection, if the board receives notice from an
applicant pursuant to subsection 3, the board shall hold a hearing on the
decision to deny the application of the applicant within 90 days after the date
the board receives notice pursuant to subsection 3. If an applicant requests a
continuance and the board grants the continuance, the hearing required pursuant
to this subsection may be held more than 90 days after the date the board
receives notice pursuant to subsection 3.

Sec. 4.5. NRS 624.031 is hereby amended to read
as follows:

624.031 [This chapter does]The provisions of this chapter do not apply
to:

1. Work [done]performed exclusively by an authorized
representative of the United States Government, the State of Nevada, or an
incorporated city, county, irrigation district,
reclamation district, or other municipal or political corporation or
subdivision of this state.

city, county, irrigation district, reclamation district, or
other municipal or political corporation or subdivision of this state.

2. An officer of a court when acting within the scope of
his office.

3. Work [done]performed exclusively by a public utility
operating pursuant to the regulations of the public utilities commission of
Nevada on construction, maintenance and development work incidental to its [own]
business.

4. An owner of property who is building or improving a
residential structure on the property for his own occupancy and not intended
for sale[.]or lease. The sale
or lease, or the offering
for sale or lease, of
the newly built structure within 1 year after its completion creates a
rebuttable presumption for the purposes of this section that the building of
the structure was performed with the
intent to sell[.] or lease that structure. An owner of
property who requests an exemption pursuant to this subsection must apply to
the board for the exemption. The board shall adopt regulations setting forth
the requirements for granting the exemption.

5. An owner of a complex containing not more than four
condominiums, townhouses, apartments or cooperative units, the managing officer
of the owner or an employee of the managing officer, who performs work to
repair or maintain that property the value of which is less than $500,
including labor and materials, unless:

(a) A building permit is required to perform the work;

(b) The work is of a type performed by a plumbing, electrical,
refrigeration, heating or air-conditioning contractor;

(c) The work is of a type performed by a contractor
licensed in a classification prescribed by the board that significantly affects
the health, safety and welfare of members of the general public;

(d) The work is performed as a part of a larger project:

(1) The value of which is $500 or more; or

(2) For which contracts of less than $500 have been
awarded to evade the provisions of this chapter; or

(e) The work is performed by a person who is licensed
pursuant to this chapter or by an employee of [such a]that person.

6. The sale or installation of any finished product,
material or article of merchandise which is not [actually]
fabricated into and does not become a permanent fixed part of the structure.

7. The construction, alteration, improvement or repair
of personal property.

8. The construction, alteration, improvement or repair
financed in whole or in part by the Federal Government and [carried on]conducted within the
limits and boundaries of a site or reservation, the title of which rests in the
Federal Government.

9. An owner of property, the primary use of which is as
an agricultural or farming enterprise, building or improving a structure on the
property for his [own] use or occupancy and not intended
for sale or lease.

[10. An owner of property who builds or improves a structure
upon his property and who contracts solely with a managing contractor licensed
pursuant to the provisions of this chapter for the building or improvement, if
the owner is and remains financially responsible for the building or improving
of all buildings and structures built by the owner upon his property pursuant
to the exemption of this subsection.]

624.140 1. Except as otherwise provided in subsection
3, if money becomes available from the operations of this chapter and payments
made for licenses, the board may pay from that money:

(a) The expenses of the operations of this chapter,
including the maintenance of offices.

(b) The salary of the executive officer who must be named
by the board.

(c) A salary to each member of the board of not more than
$80 per day, as fixed by the board, while engaged in the business of the board.

(d) A per diem allowance and travel expenses for each
member and employee of the board at a rate fixed by the board, while engaged in
the business of the board. The rate must not exceed the rate provided for state
officers and employees generally.

2. The board may delegate to a hearing officer or panel
its authority to take any disciplinary action pursuant to this chapter, impose
and collect fines therefor and deposit the money therefrom in banks, credit
unions or savings and loan associations in this state.

3. [If]Except as otherwise provided in NRS 624.520, if a
hearing officer or panel is not authorized to take disciplinary action pursuant
to subsection 2 ,[and]
the board [deposits the]shall deposit any money collected from the
imposition of fines with the state treasurer for credit to the [state
general fund, it may present a claim to the state board of examiners for recommendation
to the interim finance committee if money is needed to pay attorneys fees or
the costs of an investigation, or both.] construction education account created
pursuant to section 3 of this act.

Sec. 6. NRS 624.250 is hereby amended to read as
follows:

624.250 1. To obtain or renew a license, an applicant
must submit to the board an application in writing containing:

(a) The statement that the applicant desires the issuance
of a license under the terms of this chapter.

(b) The street address or other physical location of the
applicants place of business.

(c) The name of a person physically located in this state
for service of process on the applicant.

(d) The street address or other physical location in this
state and, if different, the mailing address, for service of process on the
applicant.

(e) The names and physical and mailing addresses of any
owners, partners, officers, directors, members and managerial personnel of the
applicant.

(f) Any information requested by the board to ascertain
the background, financial responsibility, experience, knowledge and
qualifications of the applicant.

2. The application must be:

(a) Made on a form prescribed by the board in accordance
with the rules and regulations adopted by the board.

(b) Accompanied by the fee fixed by this chapter.

3. The
board shall include on an application form for the issuance or renewal of a
license, a method for allowing an applicant to make a monetary contribution to
the construction education account created pursuant to section 3 of this act.
The application form must state in a clear and conspicuous manner that a
contribution to the construction education account is voluntary and is in
addition to any fees required for licensure. If the board receives a contribution from an applicant, the board
shall deposit the contribution with the state treasurer for credit to the
construction education account.

the board
receives a contribution from an applicant, the board shall deposit the
contribution with the state treasurer for credit to the construction education
account.

4. If
the applicant is a natural person, the application must include the social
security number of the applicant.

Sec. 7. NRS 624.263 is hereby amended to read as
follows:

624.263 1. The financial responsibility of a licensee
or an applicant for a contractors license must be established independently of
and without reliance on any assets or guarantees of any owners or managing
officers of the licensee or applicant, but the financial responsibility of any
owners or managing officers of the licensee or applicant may be inquired into
and considered as a criterion in determining the financial responsibility of
the licensee or applicant.

2. The financial responsibility of an applicant for a
contractors license or of a licensed contractor must be determined by using
the following standards and criteria in connection with each applicant or
contractor and each associate or partner thereof:

(a) Net worth.

(b) Amount of liquid assets.

(c) Prior payment and credit records.

(d) Previous business experience.

(e) Prior and pending lawsuits.

(f) Prior and pending liens.

(g) Adverse judgments.

(h) Conviction of a felony or crime involving moral
turpitude.

(i) Prior suspension or revocation of a contractors
license in Nevada or elsewhere.

(j) An adjudication of bankruptcy or any other proceeding
under the federal bankruptcy laws, including:

(1) A composition, arrangement or reorganization
proceeding;

(2) The appointment of a receiver of the property of
the applicant or contractor or any officer, director, associate or partner
thereof under the laws of this state or the United States; or

(m) Reputation for honesty and integrity of the applicant
or contractor or any officer, director, associate or partner thereof.

3. A licensed contractor shall, as soon as it is
reasonably practicable, notify the board in writing upon the filing of a
petition or application relating to the contractor that initiates any
proceeding, appointment or assignment set forth in paragraph (j) of subsection
2. The written notice must be accompanied by:

(a) A copy of the petition or application filed with the
court; and

(b) A copy of any order of the court which is relevant to
the financial responsibility of the contractor, including any order appointing
a trustee, receiver or assignee.

4. Before issuing a license to an applicant who will
engage in residential construction or renewing the license of a contractor who
engages in residential construction, the board [shall]may require the
applicant or licensee to establish his financial responsibility by submitting
to the board:

(a) A financial statement prepared by a certified public
accountant ;[who
is licensed pursuant to the provisions of chapter 628 of NRS;]
and

(b) A statement setting forth the number of building
permits issued to and construction projects completed by the licensee during
the immediately preceding year and any other information required by the board.
The statement submitted pursuant to this paragraph must be provided on a form
approved by the board.

5. In addition to the requirements set forth in
subsection 4, the board may require a licensee to establish his financial
responsibility at any time.

6. An applicant for an initial contractors license or a
licensee applying for the renewal of a contractors license has the burden of
demonstrating his financial responsibility to the board[.] , if the board requests him to do so.

Sec. 8. NRS 624.270 is hereby amended to read as
follows:

624.270 1. Before issuing a contractors license to any
applicant, the board shall require that the applicant:

(a) File with the board a surety bond in a form
acceptable to the board executed by the contractor as principal with a
corporation authorized to transact surety business in the State of Nevada as
surety; or

(b) In lieu of such a bond, establish with the board a
cash deposit as provided in this section.

2. Before granting renewal of a contractors license to
any applicant, the board shall require that the applicant file with the board
satisfactory evidence that his surety bond or cash deposit is in full force,
unless the applicant has been relieved of the requirement as provided in this
section.

3. Failure of an applicant or licensee to file or
maintain in full force the required bond or to establish the required cash
deposit constitutes cause for the board to deny, revoke, suspend or refuse to
renew a license.

4. Except as otherwise provided in subsection 6, the
amount of each bond or cash deposit required by this section must be fixed by
the board with reference to the contractors financial and professional
responsibility and the magnitude of his operations, but must be not less than
$1,000 or more than $100,000. The bond must be continuous in form and must be
conditioned that the total aggregate liability of the surety for all claims is
limited to the face amount of the bond irrespective of the number of years the
bond is in force. The board may increase or reduce the amount of any bond or
cash deposit if evidence supporting such a change in the amount is presented to
the board at the time application is made for renewal of a license or at any
hearing conducted pursuant to NRS 624.291[.] or section 4 of this act.
Unless released earlier pursuant to subsection 5, any cash deposit may be
withdrawn 2 years after termination of the license in connection with which it
was established, or 2 years after completion of all work authorized by the
board after termination of the license, whichever occurs later, if there is no
outstanding claim against it.

5. After a licensee has acted in the capacity of a
licensed contractor in the State of Nevada for not less than 5 consecutive
years, the board may relieve the licensee of the requirement of filing a bond
or establishing a cash deposit if evidence supporting such relief is presented
to the board. The board may at any time thereafter require the licensee to file
a new bond or establish a new cash deposit as provided in subsection 4 if
evidence is presented to the board supporting this requirement or, pursuant to
subsection 6, after notification of a final written decision by the labor
commissioner. If a licensee is relieved of the requirement of establishing a
cash deposit, the deposit may be withdrawn 2 years after
such relief is granted, if there is no outstanding claim against it.

deposit may be withdrawn 2 years after such relief is
granted, if there is no outstanding claim against it.

6. If the board is notified by the labor commissioner
pursuant to NRS 607.165 that three substantiated claims for wages have been
filed against a contractor within a 2-year period, the board shall require the contractor
to file a bond or establish a cash deposit in an amount fixed by the board. The
contractor shall maintain the bond or cash deposit for the period required by
the board.

7. As used in this section, substantiated claims for
wages has the meaning ascribed to it in NRS 607.165.

Sec. 9. NRS 624.291 is hereby amended to read as
follows:

624.291 1. Except as otherwise provided in subsection
4, if the board [refuses to issue or renew a license,]
suspends or revokes a license, has probable cause to believe that a person has
violated NRS 624.720 or imposes an administrative fine pursuant to NRS 624.710,
the board shall hold a hearing. The time and place for the hearing must be
fixed by the board, and notice of the time and place of the hearing must be
personally served on the applicant or accused or mailed to the last known
address of the applicant or accused at least [30]21 days before the date
fixed for the hearing.

2. The testimony taken pursuant to NRS 624.170 to
624.210, inclusive, must be considered a part of the record of the hearing
before the board.

3. The hearing must be public if a request is made
therefor.

4. The board may suspend the license of a contractor
without a hearing if the board finds, based upon evidence in its possession,
that the public health, safety or welfare imperatively requires summary
suspension of the license of the contractor and incorporates that finding in
its order. If the board summarily suspends the license of the contractor, the
board must notify the contractor by certified mail. A hearing must be held
within [30]60 days after the suspension if the contractor
submits a written request for a hearing to the board within 20 days after the
board summarily suspends his license.

(c) Impose limits on the field, scope and monetary limit
of the license;

(d) Impose an administrative fine of not more than
$10,000;

(e) Order a licensee to repay to the account established
pursuant to NRS 624.470, any amount paid out of the account pursuant to NRS
624.510 as a result of an act or omission of that licensee;

(f) Order the licensee to take action to correct a
condition resulting from an act which constitutes a cause for disciplinary
action, at the licensees cost, that may consist of requiring the licensee to:

(1) Perform the corrective work himself;

(2) Hire and pay another licensee to perform the
corrective work; or

(3) Pay to the owner of the construction project a
specified sum to correct the condition; or

(g) Reprimand or take other less severe disciplinary
action, including, without limitation, increasing the amount of the surety bond
or cash deposit of the licensee,

if the licensee commits any act which constitutes a cause for
disciplinary action.

2. If the board suspends or revokes the license of a
contractor for failure to establish financial responsibility, the board may, in
addition to any other conditions for reinstating or renewing the license, require
that each contract undertaken by the licensee for a period to be designated by
the board, not to exceed 12 months, be separately covered by a bond or bonds
approved by the board and conditioned upon the performance of and the payment
of labor and materials required by the contract.

3. If a licensee violates the provisions of NRS 624.3014
or subsection 3 of NRS 624.3015, the board may impose an administrative fine of
not more than $20,000.

4. If a licensee commits a fraudulent act which is a
cause for disciplinary action under NRS 624.3016, the correction of any
condition resulting from the act does not preclude the board from taking
disciplinary action.

5. If the board finds that a licensee has engaged in
repeated acts that would be cause for disciplinary action, the correction of
any resulting conditions does not preclude the board from taking disciplinary
action pursuant to this section.

6. The expiration of a license by operation of law or by
order or decision of the board or a court, or the voluntary surrender of a
license by a licensee, does not deprive the board of jurisdiction to proceed
with any investigation of, or action or disciplinary proceeding against, the
licensee or to render a decision suspending or revoking the license.

7. If discipline is imposed pursuant to this section,
including any discipline imposed pursuant to a stipulated settlement, the costs
of the proceeding, including investigative costs and attorneys fees, may be
recovered by the board.

8. All
fines collected pursuant to this section must be deposited with the state
treasurer for credit to the construction education account created pursuant to
section 3 of this act.

Sec. 11. NRS 624.710 is hereby amended to read as
follows:

624.710 1. If any person violates the provisions of
subsection 1 of NRS 624.700, the board may impose an administrative fine of not
less than $1,000 nor more than $10,000 for each violation.

2. An administrative fine imposed pursuant to this
section is in addition to any other penalty imposed pursuant to this chapter.

3. If the administrative fine is not paid when due, the
fine must be recovered in a civil action brought by the attorney general on
behalf of the board.

4. All
administrative fines collected pursuant to this section must be deposited with
the state treasurer for credit to the construction education account created
pursuant to section 3 of this act.

Sec. 12. This act becomes effective on July 1, 2001.

________

κ2001
Statutes of Nevada, Page 2416κ

CHAPTER 495, AB 658

Assembly Bill No.
658Committee on Ways and Means

CHAPTER 495

AN ACT making appropriations from the state general fund
and the state highway fund to the Budget Division of the Department of
Administration for the continuation of the development and roll out of the
Integrated Financial System; and providing other matters properly relating
thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. 1. There is hereby appropriated from the state
general fund to the Budget Division of the Department of Administration the sum
of $11,820,380 for the continuation of the development and roll out of the
Integrated Financial System.

2. There is hereby appropriated from the state highway fund
to the Budget Division of the Department of Administration the sum of
$2,664,000 for the continuation of the development and roll out of the
Integrated Financial System.

Sec. 2. Any remaining balance of the appropriations
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the appropriate fund as soon as all payments of money
committed have been made.

(c) Passed
an investigation of his background and personal history conducted by the board;
and

(d) Passed
the examinations required by NRS 634A.120; or

2. Has:

(a) Successfully completed a 4-year program[,]of study, or its
equivalent, in Oriental medicine at a school or college of Oriental medicine
that is approved by the board;

(b) Lawfully practiced Oriental medicine in another state
or foreign country for at least 4 years;

(c) Passed an investigation of his background and
personal history conducted by the board; and

(d) Passed the examinations required by NRS 634A.120.

Sec. 2. Section 16 of Assembly Bill No. 302 of this
session is hereby amended to read as follows:

Sec. 16. Notwithstanding the provisions
of NRS 634A.140, the state board of Oriental medicine shall issue a license to
practice as a doctor of Oriental medicine to any person who, on [the
effective date of this act,]October 1, 2001, holds a license as an
assistant in acupuncture or a license to practice as a doctor of acupuncture
issued by the board if he submits an application and the fee for the issuance
of the license to the board before January 1, 2002.

Sec. 3. This act becomes effective upon passage and
approval.

________

CHAPTER 497, SB 428

Senate Bill No.
428Committee on Finance

CHAPTER 497

AN ACT making an appropriation to the Department of
Cultural Affairs for expenses relating to the continued operation of the
Southern Nevada office of the Nevada Humanities Committee; and providing other
matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1.
1. There is hereby appropriated from the state general fund to the Department
of Cultural Affairs the sum of $200,000 for expenses relating to the continued
operation of the Southern Nevada office of the Nevada Humanities Committee.

2. Upon
acceptance of the money appropriated by subsection 1, the Nevada Humanities
Committee agrees to:

(a) Prepare and
transmit a report to the Interim Finance Committee on or before December 15,
2002, that describes each expenditure made from the money appropriated by
subsection 1 from the date on which the money was received by the Nevada
Humanities Committee through December 1, 2002; and

(b) Upon request of the Legislative Commission, make available
to the Legislative Auditor any books, accounts, claims, reports, vouchers or
other records of information, confidential or otherwise and irrespective of their
form or location, which the Legislative Auditor deems necessary to conduct any
audit of the use of the money appropriated pursuant to subsection 1.

Sec. 2. Any remaining balance of the appropriation
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 3. This act becomes effective upon passage and
approval.

________

CHAPTER 498, SB 433

Senate Bill No.
433Committee on Finance

CHAPTER 498

AN ACT making appropriations to the Department of
Cultural Affairs for the purchase of equipment and to carry out the statewide
monument program; and providing other matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1.
1. There is hereby appropriated from the state general fund to the Department
of Cultural Affairs the sum of $39,797 for the purchase of equipment.

2. Any remaining balance of the appropriation made by
subsection 1 must not be committed for expenditure after June 30, 2003, and
reverts to the state general fund as soon as all payments of money committed
have been made.

Sec. 2. 1.
There is hereby appropriated from the state general fund to the Department of
Cultural Affairs to carry out the statewide monument program:

For the fiscal year
2001-2002.......................................................................................................... $44,225

For the fiscal year
2002-2003.......................................................................................................... $41,906

2. Any balance of the appropriations made by subsection 1
remaining at the end of the respective fiscal years must not be committed for
expenditure after June 30 of the respective fiscal years and reverts to the
state general fund as soon as all payments of money committed have been made.

Sec. 3. 1.
This section and section 1 of this act become effective upon passage and
approval.

2. Section 2 of this act becomes effective on July 1, 2001.

________

κ2001
Statutes of Nevada, Page 2419κ

CHAPTER 499, SB 442

Senate Bill No.
442Committee on Finance

CHAPTER 499

AN ACT making appropriations to the Department of
Prisons for various replacement equipment at certain facilities and ongoing
expenses of the Pioche Conservation Camp to lease certain equipment; and
providing other matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1.
1. There is hereby appropriated from the state general fund to the Department
of Prisons the sum of $1,034,239 for various replacement equipment at certain
facilities.

2. Any remaining
balance of the appropriation made by subsection 1 must not be committed for
expenditure after June 30, 2003, and reverts to the state general fund as soon
as all payments of money committed have been made.

Sec. 2. 1.
There is hereby appropriated from the state general fund to the Department of
Prisons for ongoing expenses of the Pioche Conservation Camp to lease a
dishwasher:

For the fiscal year
2001-2002................................................................................................................ $948

For the fiscal year
2002-2003................................................................................................................ $948

2. Any balance of the sums appropriated by subsection 1
remaining at the end of the respective fiscal years must not be committed for
expenditure after June 30 of the respective fiscal years and reverts to the
state general fund as soon as all payments of money committed have been made.

AN ACT making an appropriation to the Department of
Motor Vehicles and Public Safety for security upgrades and operating expenses
at various offices of the Division of Parole and Probation; and providing other
matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1.
There is hereby appropriated from the state general fund to the Department of
Motor Vehicles and Public Safety the sum of $32,622 for security upgrades and
operating expenses at various offices of the Division of Parole and Probation
to be distributed as follows:

1. For
remodeling costs and an alarm system.......................................................................... $25,182

2. For operating
expenses for the fiscal year 2001-2002.......................................................
$3,720

3. For operating expenses for the fiscal year 2002-2003.......................................................
$3,720

Sec. 2. 1.
Any remaining balance of the appropriation made by subsection 2 of section 1 of
this act must not be committed for expenditure after June 30, 2002, and reverts
to the state general fund as soon as all payments of money committed have been
made.

2. Any remaining balance of the appropriations made by
subsections 1 and 3 of section 1 of this act must not be committed for
expenditure after June 30, 2003, and reverts to the state general fund as soon
as all payments of money committed have been made.

Sec. 3. 1. This section and subsection 1 of section 1
of this act become effective upon passage and approval.

2. Subsection 2 of section 1 of this act becomes effective on
July 1, 2001.

3. Subsection 3 of section 1 of this act becomes effective on
July 1, 2002.

________

CHAPTER 501, SB 446

Senate Bill No.
446Committee on Finance

CHAPTER 501

AN ACT making an appropriation to the Department of
Human Resources for new and replacement equipment and computer hardware and
software for the Division of Mental Health and Developmental Services; and
providing other matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There is hereby appropriated from the state
general fund to the Department of Human Resources the sum of $78,735 for new
and replacement equipment and computer hardware and software for the Division
of Mental Health and Developmental Services.

Sec. 2. Any remaining balance of the appropriation
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 3. This act becomes effective upon passage and
approval.

________

κ2001
Statutes of Nevada, Page 2421κ

CHAPTER 502, SB 449

Senate Bill No.
449Committee on Finance

CHAPTER 502

AN ACT making an appropriation to the State Department
of Conservation and Natural Resources for replacement equipment for the
Division of Forestry; and providing other matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There is hereby appropriated from the state
general fund to the State Department of Conservation and Natural Resources the
sum of $401,693 for replacement equipment for the Division of Forestry.

Sec. 2. Any remaining balance of the appropriation
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 3. This act becomes effective upon passage and
approval.

________

CHAPTER 503, SB 462

Senate Bill No.
462Committee on Finance

CHAPTER 503

AN ACT making an appropriation to the Nevada Silver
Haired Legislative Forum of the Aging Services Division of the Department of
Human Resources; and providing other matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. 1. There is hereby appropriated from the
state general fund to the Nevada Silver Haired Legislative Forum of the Aging
Services Division of the Department of Human Resources the sum of $5,000.

2. Upon
acceptance of the money appropriated by subsection 1, the Nevada Silver Haired
Legislative Forum of the Aging Services Division of the Department of Human
Resources agrees to:

(a) Prepare and
transmit a report to the Interim Finance Committee on or before December 15,
2002, that describes each expenditure made from the money appropriated by
subsection 1 from the date on which the money was received by the Nevada Silver
Haired Legislative Forum through December 1, 2002; and

(b) Upon request of the Legislative Commission, make available
to the Legislative Auditor any books, accounts, claims, reports, vouchers or
other records of information, confidential or otherwise and irrespective of
their form or location, that the Legislative Auditor deems necessary to conduct
any audit of the use of the money appropriated pursuant to subsection 1.

Sec. 2. Any remaining balance of the appropriation
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 3. This act becomes effective upon passage and
approval.

________

CHAPTER 504, SB 463

Senate Bill No.
463Committee on Finance

CHAPTER 504

AN ACT making appropriations to the Department of
Prisons for maintenance projects at certain facilities and ongoing expenses for
the various budget accounts; and providing other matters properly relating
thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1.
1. There is hereby appropriated from the state general fund to the Department of
Prisons the sum of $334,376 for maintenance projects at certain facilities.

2. Any remaining balance of the appropriation made by
subsection 1 must not be committed for expenditure after June 30, 2003, and
reverts to the state general fund as soon as all payments of money committed
have been made.

Sec. 2. 1.
There is hereby appropriated from the state general fund to the Department of
Prisons for ongoing expenses for the various budget accounts of the Department:

For the fiscal year
2001-2002.......................................................................................................... $10,129

For the fiscal year
2002-2003.......................................................................................................... $10,129

2. Any balance of the sums appropriated by subsection 1
remaining at the end of the respective fiscal years must not be committed for
expenditure after June 30 of the respective fiscal years and reverts to the
state general fund as soon as all payments of money committed have been made.

Sec. 3. 1.Section 1 of this act becomes effective upon passage and approval.

2. Section 2 of this act becomes effective on July 1, 2001.

________

κ2001
Statutes of Nevada, Page 2423κ

CHAPTER 505, SB 464

Senate Bill No.
464Committee on Finance

CHAPTER 505

AN ACT making an appropriation to the Office of the
Secretary of State for various enabling technology projects, for promotional
materials for the Commercial Recordings Division, and for new and replacement
equipment; and providing other matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There is hereby appropriated from the state
general fund to the Office of the Secretary of State the sum of $467,617 for
various enabling technology projects, for promotional materials for the
Commercial Recordings Division, and for new and replacement equipment.

Sec. 2. Any remaining balance of the appropriation
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 3. This act becomes effective upon passage and
approval.

________

CHAPTER 506, SB 477

Senate Bill No.
477Committee on Finance

CHAPTER 506

AN ACT making an appropriation to the Department of
Employment, Training and Rehabilitation for the Independent Living State Client
Services Program for assistive devices to help disabled persons maintain an
independent living environment; and providing other matters properly relating
thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. There is hereby appropriated from the state
general fund to the Department of Employment, Training and Rehabilitation for
the Independent Living State Client Services Program the sum of $500,000 for
assistive devices to help disabled persons maintain an independent living
environment.

Sec. 2. Any remaining balance of the appropriation
made by section 1 of this act must not be committed for expenditure after June
30, 2003, and reverts to the state general fund as soon as all payments of
money committed have been made.

Sec. 3. This act becomes effective upon passage and
approval.

________

κ2001
Statutes of Nevada, Page 2424κ

CHAPTER 507, SB 505

Senate Bill No.
505Committee on Finance

CHAPTER 507

AN ACT relating to dairy products; making various
changes relating to the transfer of responsibility for the dairy inspection
program to the state dairy commission of the department of business and
industry; and providing other matters properly relating thereto.

[Approved: June 8, 2001]

Whereas, Fresh wholesome milk and other
dairy products are basic food commodities whose availability at reasonable
prices is a necessity for consumers; and

Whereas, It is recognized by the
Legislature that the perishable nature of milk and other dairy products has
led, in the past, to disruption in both production and marketing; and

Whereas, The consolidated regulation of
the Nevada dairy industry from the dairy farm to the distributor will benefit
both the consumer and the industry by creating a single source of regulation
and a streamlined regulatory structure; and

Whereas, The state dairy commission is
charged with consolidating this regulation and ensuring that fresh wholesome
milk and other dairy products are produced and distributed within Nevada in a
manner free from destructive competition and unfair trade practices; now,
therefore,

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. Chapter 584 of NRS is hereby amended
by adding thereto the provisions set forth as sections 2 to 6, inclusive, of
this act.

Sec. 2. As
used in this chapter, unless the context otherwise requires, commission means
the state dairy commission created pursuant to NRS 584.420.

Sec. 3. The
commission may adopt and enforce regulations to carry out the provisions of
this chapter.

Sec. 4. The
state health officer shall, if requested, consult with the commission on any
matter concerning the public health and welfare of the people of this state
that arises pursuant to this chapter.

Sec. 5. Before
the commission may adopt a regulation pursuant to NRS 584.013 to 584.285,
inclusive, and sections 5 and 6 of this act, the commission shall submit the
regulation to the state board of health for review and comment. The board shall
complete its review and return the regulation to the commission not later than
30 days after its receipt thereof unless the commission agrees to a longer
time.

Sec. 6. 1. The commission may enter into contracts with any person
to assist it in carrying out the duties of the commission by performing any
duty imposed on the commission pursuant to NRS 584.013 to 584.285, inclusive,
or sections 5 and 6 of this act.

2. As used
in this section, person includes a government, a governmental agency and a
political subdivision of a government.

584.017 Except as otherwise provided by law, the [state
board of health]commission shall adopt, and may amend and
repeal, reasonable regulations governing:

1. The production, manufacturing, mixing, preparing,
processing, pasteurizing, freezing, packaging, transportation, handling,
sampling, examination, labeling and sale of all mix and frozen desserts sold
for ultimate consumption within the State of Nevada.

2. The inspection of all establishments engaged in the
production, processing and distribution of mix and frozen desserts.

3. The issuing and revocation of permits to frozen
desserts plants.

4. The grading and regrading of frozen desserts plants.

5. The displaying of grade placards.

6. The fixing of penalties for a violation of [such]the regulations.

Sec. 8. NRS 584.023 is hereby amended to read as
follows:

584.023 A copy of every regulation adopted by the [state
board of health] commission must be published immediately
after adoption and issued in pamphlet form for distribution to local health
officers and [citizens of the state.] , upon application therefor, to
licensed or other dairymen, creameries and other persons interested in them.

Sec. 9. NRS 584.027 is hereby amended to read as
follows:

584.027 Any person who violates any provision of the
regulations adopted pursuant to NRS 584.017, or refuses or neglects to obey any
lawful order of the [state board of health,]commission, is guilty of a
misdemeanor.

Sec. 10. NRS 584.125 is hereby amended to read as
follows:

584.125 For the purposes of NRS 584.110 to 584.160,
inclusive, wholesome butter is defined to be butter made from cream and milk
wherein the entire procedure from dairy to creamery, or other place of
manufacture of such product or products, is conducted under sanitary conditions[;], and wherein the milk or
cream has either been produced by cows all of which have been duly certified by
some reputable veterinarian as free from tuberculosis, or, if not so certified,
wherein such milk or cream has been pasteurized as prescribed by the [commissioner
of food and drugs]commission pursuant to NRS 584.135.

Sec. 11. NRS 584.130 is hereby amended to read as
follows:

584.130 The inspection of butter under the provisions of
NRS 584.110 to 584.160, inclusive, and the determination of the same as
wholesome or impure, are hereby made duties of the [commissioner of food and
drugs. The commissioner of food and drugs]commission. The commission is
hereby given all necessary authority and power for such inspection and
determination and may employ such inspectors or agents therefor as may be
necessary within any revenues
generated or appropriation provided for such purposes.

Sec. 12. NRS 584.135 is hereby amended to read as
follows:

584.135 The [commissioner of food and
drugs is authorized and empowered to make and enforce such reasonable rules and]commission shall make such regulations,
within the meaning and purposes of NRS 584.110 to 584.160, inclusive, as may be
necessary in their administration, and which may include the sanitary
production, care and handling of milk and cream used in the making of butter.

584.140 The [commissioner of food and
drugs]commission
shall supply local dealers in butter with a list of persons,
firms and creameries commonly supplying butter for local consumption classified
as makers of wholesome or impure butter, and shall, from time to time
thereafter, supply such dealers with additions to or alterations in such
classifications.

Sec. 14. NRS 584.150 is hereby amended to read as
follows:

584.150 1. It [shall be]is unlawful for any
person, firm or corporation to sell or exchange, or offer or expose for sale or
exchange, for human consumption, any impure butter.

2. Imported butter from states having similar laws, if
made by creameries, dairies or farms recognized by the authorities of such
states as manufacturing wholesome butter, and imported pasteurized butter from
states not having similar laws but the makers of which [shall]
have satisfied the [commissioner of food and drugs]commission that such
butter conforms to the requirements of NRS 584.110 to 584.160, inclusive, shall
be [regarded as]deemed wholesome if offered for sale or
exchange in this state. All other imported butter shall be deemed impure.

3. All impure butter offered for sale or exchange, for
human consumption, [shall be]is subject to confiscation by the police
authorities and may be destroyed.

4. Any person, firm or corporation violating the
provisions of this section [shall be]is guilty, for the first offense, of a
misdemeanor, and for any subsequent offense, of a gross misdemeanor.

Sec. 15. NRS 584.155 is hereby amended to read as
follows:

584.155 On complaint by the [commissioner of food and
drugs]commission
of the violation of NRS 584.150 by any person, firm or
corporation, the district attorney of the county in which [such]the violation is
alleged to have occurred shall institute criminal proceedings against the
person complained of and shall prosecute the same in the proper courts.

Sec. 16. NRS 584.180 is hereby amended to read as
follows:

584.180 1. [No]A person, firm,
association or corporation shall not
sell or offer to sell fresh fluid milk or fresh fluid cream in
the State of Nevada without obtaining a permit issued by the [health
division of the department of human resources pursuant to the regulation of the
state board of health governing the sanitation and grading of milk and milk
products.]
commission.

2. No such permit [shall be]is required from any
person, firm, association or corporation who sells solely to a permittee or
purchases solely from a permittee.

Sec. 17. NRS 584.185 is hereby amended to read as
follows:

584.185 The application for the permit required by NRS
584.180 [shall:] must:

1. Be submitted in writing on [such form as the state
board of health shall prescribe.] a form prescribed by the commission.

2. Include the name and address of the applicant, and,
if a partnership, the names and addresses of all partners, and, if a
corporation, association or other organization, the names and addresses of the
president, vice president, secretary and managing officers.

3. Specify the name and location of the premises or
business for which the license is sought.

4. Contain such other information as may be reasonably
required by the [board.] commission.

Sec. 18. NRS 584.190 is hereby amended to read as
follows:

584.190 If it [shall appear]appears to the
satisfaction of the [health division of the department of human resources]commission that the
applicant has complied with [the]all regulations governing the sanitation and
grading of milk and milk products, the [health division]commission shall
cause the dairy farms, milk plants and facilities of the applicant to be
inspected . [as
provided by the regulations of the state board of health.]

Sec. 19. NRS 584.195 is hereby amended to read as
follows:

584.195 1. If, after the application and inspection, it
[shall appear]appears to the satisfaction of the [health
division of the department of human resources]commission that the
applicant has fully complied with [the regulations of the
state board of health]all regulations governing the sanitation and
grading of milk and milk products, the [health division]commission shall
issue a permit to the applicant.

2. The [health division]commission shall keep a record of all
applications for permits and permits issued by it, which [shall]must be a public
record.

Sec. 20. NRS 584.200 is hereby amended to read as
follows:

584.200 1. Whenever any inspection of the dairy farms,
milk plants or facilities of an applicant or a permittee necessitates departing
beyond the territorial limits of the State of Nevada, the applicant or
permittee on whose behalf [such]the inspection is to be made shall pay the per
diem expense allowance and travel expenses of the inspector or inspectors for
the amount of their travel beyond the territorial limits of the State of Nevada
in an amount equivalent to that paid other state officers performing similar
duties. [Claims for per diem expense allowances and travel expenses of
inspectors must be paid by the health division of the department of human
resources.]

2. Before an inspection is made outside the State of
Nevada, the [health division]commission shall collect from the applicant or
permittee an amount of money equal to the expenses to be incurred for the
inspection. The money must be deposited with the state treasurer for credit to
the appropriate account [of the health division]in the dairy commission fund and
may be used only to pay for claims filed in accordance with this section.

3. Failure of an applicant or a permittee to pay the
amount demanded by the [health division]commission pursuant to the provisions of
subsection 2 is a ground for the denial, suspension or revocation of a permit.
Money paid by any applicant or permittee pursuant to the provisions of
subsection 2 must not be refunded.

Sec. 21. NRS 584.205 is hereby amended to read as
follows:

584.205 1. In addition to the initial inspection of new
applicants, the [state board of health]commission shall, except
as otherwise provided
in subsection 2, direct a periodic inspection, not less than annually, of all
facilities belonging to permittees [in order]
to ascertain whether [or not] the services, facilities and
equipment continue to comply with the regulations referred to in NRS [584.180
and] 584.195.

2. Except as otherwise provided in NRS 584.208 and the regulations adopted pursuant to that
section, milk and milk products, including certified raw milk and products made
from it, imported from outside the State of Nevada may be
sold in this state without inspection by the [health division of the department
of human resources] commission if the requirements of paragraph (c) and the
requirements of paragraph (a) or paragraph (b) are met:

Nevada may be sold in this state without inspection by the [health
division of the department of human resources]commission if the
requirements of paragraph (c) and the requirements of paragraph (a) or
paragraph (b) are met:

(a) In the case of certified raw milk and products made
from it, they have been produced under standards adopted by the American
Association of Medical Milk Commissions and under the statutory provisions of
the State of California applicable to such products.

(b) The milk and milk products have been produced,
pasteurized, processed, transported and inspected under statutes or regulations
substantially equivalent to the Nevada milk and milk products statutes and
regulations.

(c) The milk and milk products have been awarded an
acceptable milk sanitation, compliance and enforcement rating by a state milk
sanitation rating officer certified by the United States Public Health Service.

3. Whenever the [health division]commission has
reasonable grounds to believe that a seller of milk or milk products, including
certified raw milk and products made from it, is violating any of the
regulations adopted by the [state board of health]commission or any county
milk commission relating to the sanitation and grading of milk and milk
products, including certified raw milk and products made from it, or that his
facilities or products fail to meet the regulations, or that his operation is
in any other manner not in the best interests of the people of this state, the [health
division]commission
may conduct a reasonable inspection, and if any violation or
other condition inimical to the best interests of the people of this state is
found, to take corrective action pursuant to NRS 584.180 to 584.210, inclusive.

Sec. 22. NRS 584.207 is hereby amended to read as
follows:

584.207 1. Certified raw milk is unpasteurized,
marketed milk which conforms to the regulations and standards adopted by the
county milk commission for the production and distribution of certified raw
milk and certified raw milk products in the county in which they are produced.

2. In each county in which certified raw milk or
certified raw milk products are produced for public consumption, there must be
a county milk commission to regulate the production and distribution of those
products. The board of county commissioners shall appoint to the commission
three members for terms of 4 years
, all of whom are eligible for reappointment. The members must
all be residents of the county and have the following respective
qualifications:

(a) One member must be a physician licensed in this state
and a member of the medical society of the state;

(b) One member must be a veterinarian licensed in this
state and a member of the county or regional veterinarian association; and

(c) One member must be a representative of the public at
large.

3. A county milk commission shall:

(a) Elect one of its members as chairman and adopt appropriate rules to
govern:

(1) The time and place of its meetings;

(2) Its rules of procedure; and

(3) Its recordkeeping and other internal operations.

(b) Adopt written regulations, which must be approved by
the state [board of health,]dairy commission, governing the production,
distribution and sale in the county of certified raw milk and products made
from it, to protect the public health and safety and the
integrity of the product.

public health and safety and the integrity of the product.
The regulations so adopted must conform as nearly as practicable to, but may be
more stringent than, the standards adopted by the American Association of
Medical Milk Commissions.

(c) Certify raw milk and the products thereof for any
applicant producing raw milk within the county, whose product and methods of
production, distribution and sale comply with the regulations and standards
adopted by the county milk commission.

4. A county milk commission may:

(a) Establish and collect such fees and charges as appear
reasonably necessary to defray the costs and expenses incurred by it in the
performance of its duties under this section, and expend any money so collected
as is necessary for such performance.

(b) Conduct such tests, inspections and analyses as are
necessary to enable it to perform its duties under this section and employ such
personnel and equipment as it deems necessary therefor.

5. Each applicant for certification [shall,]must, as a condition
for entertaining his application and as a condition for any certification
granted, submit for testing by the county
milk commission such samples as the county milk commission requests, and allow
inspections by the county milk commission
or its agents at any reasonable times, of any or all of his facilities,
equipment, herds or other property employed in his dairy operations, including,
without limitation, all of his books and records relating thereto.

Sec. 23. NRS 584.208 is hereby amended to read as
follows:

584.208 1. Certified raw milk and products made from it
may be sold if the milk has been:

(a) Cooled to 45 degrees Fahrenheit or less immediately
after being drawn from the cow or goat and maintained at or below that
temperature until it is delivered to the consumer, at which time it may not
contain more than 10 coliform bacteria per milliliter or more than 10,000
bacteria per milliliter; and

(b) Certified by the county milk commission of the county
in which it was produced.

2. No person may come in contact with or be near raw
milk before it is sold to the consumer unless the person maintains scrupulous
cleanliness and is not afflicted with any communicable disease or in a
condition to disseminate any disease which can be transmitted by milk. No
person may handle milk to be sold as raw unless he has a physical examination
before any employment requiring him to do so and every 3 months thereafter
while continuing in the employment.

584.210 1. Whenever the [health division of the
department of human resources]commission has reasonable grounds to believe
that any applicant or permittee under NRS 584.180 to 584.210, inclusive, is
violating any of the provisions of those sections, or any of the rules, regulations
or specifications adopted by the [state board of health]commission relative
to the sanitation and grading of milk and milk products, or whenever the
results of tests indicate that the facilities, milk or milk products do not
meet those regulations or are not reliable or are questionable, or when the [health
division]commission
determines that the operation in any other manner is inimical and
not for the best interests of the health, safety or welfare of the people of
this state, the [health division of the department of human resources]commission may,
after providing notice and opportunity for a hearing pursuant to the provisions
of subsection 2, refuse to grant a permit or suspend or revoke any or all
permits previously issued.

2. Except as otherwise provided in this subsection, if
the [health division]commission intends to refuse to grant a permit
or to suspend or revoke a permit pursuant to the provisions of subsection 1,
the [health division]commission shall provide to the applicant or permittee,
by certified mail, written notice of the intended action within the period
established pursuant to regulations adopted by the [state board of health.]commission. The
notice must specify the reasons, the legal authority and the jurisdiction of the
[health division]commission for taking the intended action.
Upon receipt of the notice, an applicant or permittee may request a hearing,
and, if so requested, the [health division]commission shall conduct a hearing pursuant to
regulations adopted by the [state board of health.]commission. If an
applicant or permittee does not request a hearing after being notified pursuant
to the provisions of this subsection, any decision of the [health division]commission made
pursuant to this section is final and not subject to judicial review. Such
notice and hearing is not required and a permit may be summarily disapproved,
revoked or suspended by the [health division]commission if the [health division]commission finds
that, based upon the particular circumstances of the case, it is in the best
interests of the health, safety or welfare of the people of this state to so
proceed.

3. The [health division]commission may conduct the investigations,
summon and compel the attendance of witnesses, require the production of any
records or documents, and provide for the taking of depositions under the
Nevada Rules of Civil Procedure in connection with a hearing conducted pursuant
to the provisions of this section.

4. The findings of the [health division]commission and the
judgment or order must be reduced to writing and filed in the permanent public
records of the [health division.]commission. The findings must state the
reasons why the application for a permit was disapproved or the permit was
suspended or revoked. Copies must be furnished to the applicant or permittee
who may, if he requested and was given a hearing or if his application or
permit was summarily disapproved, revoked or suspended pursuant to the
provisions of subsection 2, file an appeal pursuant to regulations adopted by
the [state board of health.]commission. Upon the
filing of the appeal, the [administrator]chairman of the [health division]commission or his
designee shall appoint a person who did not participate in the decision of the [health
division]commission
to conduct a hearing in accordance with those regulations. The
applicant or permittee is entitled to judicial review of the decision of the person so appointed in the manner provided by
chapter 233B of NRS.

decision of the person so appointed in the manner provided by
chapter 233B of NRS. Upon the filing for appeal or review, the enforcement of
the [health divisions]commissions order must be stayed pending
final disposition of the matter. If the order is judicially affirmed, it
becomes final and the stay of enforcement is automatically vacated.

5. In any case where the [health division]commission refuses
to issue a permit, or suspends or revokes a permit, the applicant or accused is
entitled to submit another application for the consideration of the [health
division.]
commission.

6. The [state board of health]commission shall adopt
such regulations as are necessary to carry out the provisions of this section.

Sec. 25. NRS 584.215 is hereby amended to read as
follows:

584.215 1. Except as otherwise provided in subsection
2, all testing of milk or cream purchased on the basis of the amount of
butterfat contained therein must be done by a licensed tester, who shall
supervise and is responsible for the operation of the Babcock test of milk or
cream.

2. Methods of testing such milk, other than the Babcock
test, may be used if approved by the [commissioner of food and
drugs.]commission.
If such approval is given, equipment suitable for the performance
of the Babcock test must be provided and maintained.

3. A license may be issued to a tester by the [commissioner
of food and drugs. The commissioner]commission. The commission shall examine the
qualifications of the applicant for a license, and every applicant must satisfy
the [commissioner]commission of his qualifications and comply
with the provisions in NRS 584.215 to 584.285, inclusive, before a license may
be issued to him.

4. If a method of testing other than the Babcock test is
used, the tester must be licensed to perform that method of testing and the
Babcock test.

Sec. 26. NRS 584.216 is hereby amended to read as
follows:

584.216 1. An applicant for the issuance or renewal of
a milk testers license shall submit to the [commissioner of food and
drugs]commission
the statement prescribed by the welfare division of the
department of human resources pursuant to NRS 425.520. The statement must be
completed and signed by the applicant.

2. The [commissioner]commission shall include the statement
required pursuant to subsection 1 in:

(a) The application or any other forms that must be
submitted for the issuance or renewal of the license; or

(b) A separate form prescribed by the [commissioner.] commission.

3. A milk testers license may not be issued or renewed
by the [commissioner]commission if the applicant:

(a) Fails to submit the statement required pursuant to
subsection 1; or

(b) Indicates on the statement submitted pursuant to
subsection 1 that he is subject to a court order for the support of a child and
is not in compliance with the order or a plan approved by the district attorney
or other public agency enforcing the order for the repayment of the amount owed
pursuant to the order.

4. If an applicant indicates on the statement submitted
pursuant to subsection 1 that he is subject to a court order for the support of
a child and is not in compliance with the order or a plan approved by the
district attorney or other public agency enforcing the order for the repayment
of the amount owed pursuant to the order, the [commissioner]commission shall
advise the applicant to contact the district attorney or
other public agency enforcing the order to determine the actions that the
applicant may take to satisfy the arrearage.

applicant to contact the district attorney or other public
agency enforcing the order to determine the actions that the applicant may take
to satisfy the arrearage.

Sec. 27. NRS 584.217 is hereby amended to read as
follows:

584.217 1. If the [commissioner of food and
drugs]commission
receives a copy of a court order issued pursuant to NRS 425.540
that provides for the suspension of all professional, occupational and
recreational licenses, certificates and permits issued to a person who is the
holder of a milk testers license, the [commissioner]commission shall
deem the license issued to that person to be suspended at the end of the 30th
day after the date on which the court order was issued unless the [commissioner]commission receives
a letter issued to the holder of the license by the district attorney or other
public agency pursuant to NRS 425.550 stating that the holder of the license
has complied with the subpoena or warrant or has satisfied the arrearage
pursuant to NRS 425.560.

2. The [commissioner of food and drugs]commission shall reinstate
a milk testers license that has been suspended by a district court pursuant to
NRS 425.540 if the [commissioner]commission receives a letter issued by the
district attorney or other public agency pursuant to NRS 425.550 to the person
whose license was suspended stating that the person whose license was suspended
has complied with the subpoena or warrant or has satisfied the arrearage
pursuant to NRS 425.560.

Sec. 28. NRS 584.220 is hereby amended to read as
follows:

584.220 1. Every creamery, shipping station, milk
factory, cheese factory, ice cream factory, condensery, or any person, firm or
corporation receiving or purchasing milk or cream on the basis of butterfat
contained therein [shall be]is required to hold a license so to do.

2. The license [shall]must be issued to [such]the creamery,
shipping station, milk factory, condensery, ice cream factory, cheese factory,
or person, firm or corporation by the [commissioner of food and
drugs]commission
upon complying with all sanitary laws, rules and regulations of
the State of Nevada, and upon complying with the provisions of NRS 584.215 to
584.285, inclusive, and upon payment of a license fee as provided in NRS
584.225.

Sec. 29. NRS 584.225 is hereby amended to read as
follows:

584.225 1. The fee for issuing and renewing a milk
testers license [shall be]is $10 for a full year or fraction thereof.

2. All licenses required under NRS 584.215 to 584.285,
inclusive, [shall] expire at the end of each
calendar year.

3. The provisions of this section [shall]do not apply to [individuals,]natural persons, hotels,
restaurants or boardinghouses buying milk or cream for private use.

[4. All moneys received by the commissioner of food and drugs
shall be accounted for by him annually to the state treasury. Such moneys as
are received by the commissioner of food and drugs under the provisions of NRS
584.215 to 584.285, inclusive, may be used by him for expenses necessary or
incident to the carrying into effect of NRS 584.215 to 584.285, inclusive, and
for performing such duties as are required by him thereunder. The overplus, if
any, shall be paid into the state treasury annually at the time of making his
annual accounting.]

584.230 A license may be revoked by the [commissioner
of food and drugs]commission if, after due notice, the licensee
fails or has failed to comply with the laws, rules and regulations under which
the license was granted.

Sec. 31. NRS 584.235 is hereby amended to read as
follows:

584.235 The [commissioner of food and
drugs]commission
shall make uniform regulations for the proper enforcement of NRS
584.215 to 584.285, inclusive. The regulations must be printed in the state
printing division of the department of administration and distributed by the [commissioner
of food and drugs]commission upon application therefor to
licensed or other dairymen, creameries and other persons interested in them.

Sec. 32. NRS 584.240 is hereby amended to read
as follows:

584.240 1. A licensed tester shall, in addition to the
records required to be kept by NRS 584.215 to 584.285, inclusive, record all
tests made by him in a permanent book of record, a form for which [shall]must be supplied at
cost or approved by the [commissioner of food and drugs,]commission, and tests [shall]must be indelibly
recorded in the record book in such a manner as to identify the patron whose
milk or cream has been tested, and also in such a manner as to prevent erasures
or changes being made in these tests.

2. The record [shall]must be at all times
during business hours kept open for inspection by the [commissioner of food and
drugs or his]commission
or its agents, or by any officer of the city and county board of
health, or by any peace officer of the city, county or state, or by any patron
who may be delivering milk or cream to the plant or place where such tests are
made.

Sec. 33. NRS 584.250 is hereby amended to read as
follows:

584.250 All cream sold in the State of Nevada on the
basis of the richness or the percentage of milk fat contained therein [shall]must be tested by
the Babcock test, using a procedure approved by the [commissioner of food and
drugs.]
commission.

Sec. 34. NRS 584.255 is hereby amended to read as
follows:

584.255 The [commissioner of food and
drugs]commission
shall, from time to time, inspect and examine as to their
accuracy, or their adaptability to give accurate results, all glassware,
measures, scales, weights and other apparatus used in creameries and factories
of dairy products, where milk and cream are purchased, to determine the amount
of percentage of fat in milk or cream.

Sec. 35. NRS 584.265 is hereby amended to read as
follows:

584.265 The [commissioner of food and
drugs or his]commissions
duly authorized representative or appointee shall make analyses
of all samples of milk or cream deemed necessary for the enforcement of NRS
584.215 to 584.285, inclusive.

Sec. 36. NRS 584.270 is hereby amended to read as
follows:

584.270 The [commissioner of food and
drugs,]commission,
on complaint of any licensed milk producer, showing good cause
therefor, that the tests made by any licensed tester are incorrect or
inaccurate, shall investigate and test milk from [such]the producer, at the
source, until [he]the commission is satisfied as to the
correctness or incorrectness of [such]the complaint.

584.275 1. It is unlawful for any person for himself or
as the agent, servant, employee or officer of any person, firm or corporation
receiving or purchasing milk or cream on the basis of the amount of butterfat
contained therein to:

(a) Underread, overread or otherwise fraudulently
manipulate the official test used for determining the percent of butterfat in
milk or cream;

(b) Falsify the records thereof; or

(c) Use any other test or deviate from an accepted
procedure unless it is approved by the [commissioner of food and
drugs.]
commission.

2. In all tests for cream, the cream must be weighed
into the bottle used for testing.

Sec. 38. NRS 584.325 is hereby amended to read as
follows:

584.325 As used in NRS 584.325 to 584.690, inclusive, unless
the context otherwise requires, the words and terms defined in NRS [584.330]584.335 to 584.385,
inclusive, have the meanings ascribed to them in those sections.

Sec. 39. NRS 584.410 is hereby amended to read as
follows:

584.410 The purposes of NRS 584.325 to 584.690,
inclusive, are:

1. To provide [funds]money for the administration and
enforcement of [NRS 584.325 to 584.690, inclusive,]the provisions of this chapter by
assessments to be paid by producers of fluid milk or fluid cream, or both, and
from licenses issued to distributors in the manner prescribed herein.

2. To authorize and enable the commission to prescribe
marketing areas and to fix prices at which fluid milk or fluid cream, or both,
may be sold by producers, distributors and retailers, which areas and prices
are necessary due to varying factors of costs of production, health
regulations, transportation and other factors in the marketing areas of this
state , [;]
but the price of fluid milk or fluid cream within any marketing area [shall]must be uniform for
all purchasers of fluid milk or fluid cream of similar grade or quality under
like terms and conditions.

3. To authorize and enable the commission to formulate
stabilization and marketing plans subject to the limitations prescribed in NRS
584.325 to 584.690, inclusive, with respect to the contents of [such]the stabilization
and marketing plans and to declare
[such]the plans in effect for any marketing area.

4. To enable the dairy industry with the aid of the
state to correct existing evils, develop and maintain satisfactory marketing
conditions, and bring about a reasonable amount of stability and prosperity in
the production and marketing of fluid milk and fluid cream.

Sec. 40. NRS 584.440 is hereby amended to read as
follows:

584.440 1. The members of the commission shall meet at
least once each month and may meet at the call of the chairman or at the
request of a majority of the members of the commission.

2. The commission shall conduct all hearings authorized
pursuant to [NRS 584.325 to 584.690, inclusive.] the provisions of this chapter.

3. A majority of the members constitutes a quorum and a
majority vote of the commission is required on all action taken by the
commission.

4. The commission may retain an attorney to assist the
commission in the administration of its duties.

2. The executive director may appoint such assistants,
deputies, agents, experts and other employees as are necessary for the
administration of [NRS 584.325 to 584.690, inclusive,]the provisions of this chapter, prescribe
their duties and fix their salaries.

3. The executive director is in the unclassified service
of the state. All assistants, deputies, agents, experts and other employees are
in the classified service.

4. The executive director may be removed by the
commission.

Sec. 42. NRS 584.460 is hereby amended to read as
follows:

584.460 1. There is hereby created in the state
treasury a special revenue fund designated as the dairy commission fund. [All]Except as otherwise required in
NRS 584.670, all money received by the commission pursuant to [NRS
584.325 to 584.690, inclusive,]the provisions of this chapter must be paid
into the fund and must be expended solely for the [enforcement of NRS
584.176 to 584.179, inclusive, and 584.325 to 584.690, inclusive.] administration and enforcement of the
provisions of this chapter.

2. The interest and income earned on the money in the
dairy commission fund, after deducting any applicable charges, must be credited
to the fund.

Sec. 43. NRS 584.470 is hereby amended to read as
follows:

584.470 1. For the purposes of [NRS 584.325 to 584.690,
inclusive,]this
chapter, the commission may hold hearings, administer oaths,
certify to official acts, take depositions, issue subpoenas, summon witnesses
and examine the books and records of any producer, distributor or retailer.
Such an examination may be made at any reasonable time or place by the
commission or any agent of the commission.

2. The district court for the county in which any
investigation is being conducted by the commission may compel the attendance of
witnesses, the giving of testimony and the production of books and papers as
required by any subpoena issued by the commission.

3. In case of the refusal of any witness to attend or
testify or produce any papers required by such subpoena, the commission may
report to the district court for the county in which the investigation is
pending by petition, setting forth:

(a) That due notice has been given of the time and place
of attendance of the witness or the production of the books and papers;

(b) That the witness has been subpoenaed in the manner
prescribed in this chapter; and

(c) That the witness has failed and refused to attend or
produce the papers required by subpoena before the commission in the
investigation named in the subpoena, or has refused to answer questions
propounded to him in the course of such investigation,

and asking an order of the court compelling the witness to
attend and testify or produce the books or papers before the commission.

4. The court, upon petition of the commission, shall
enter an order directing the witness to appear before the court at a time and
place to be fixed by the court in such order, the time to be not more than 10
days from the date of the order, and then and there show cause why he has not
attended or testified or produced the books or papers before the commission. A certified copy of the order [shall] must be served upon the
witness.

certified copy of the order [shall]must be served upon
the witness. If it [shall appear]appears to the court that the subpoena was
regularly issued by the commission, the court shall thereupon enter an order
that the witness appear before the commission at the time and place fixed in
the order and testify or produce the required books or papers, and upon failure
to obey the order, the witness [shall]must be dealt with as for contempt of court.

Sec. 44. NRS 584.495 is hereby amended to read as
follows:

584.495 The commission shall enforce the provisions of [NRS
584.325 to 584.690, inclusive,]this chapter and any stabilization and
marketing plan initiated pursuant to the provisions of [those sections.] NRS 584.325 to 584.690, inclusive.

Sec. 45. NRS 584.500 is hereby amended to read as
follows:

584.500 The commission is hereby declared to be the
instrumentality of this state for the purpose of administering and enforcing
the provisions of [NRS 584.325 to 584.690, inclusive,]this chapter and to
execute the legislative intent [herein expressed,]expressed in this chapter, and is hereby
vested with the administrative authority described in [NRS 584.325 to 584.690,
inclusive.]
this chapter.

Sec. 46. NRS 584.543 is hereby amended to read as
follows:

584.543 Constables, police officers and sheriffs may , upon request, render
assistance to the commission, any member of the commission or any authorized representative
of the commission, in the enforcement of the provisions of [NRS 584.325 to 584.690,
inclusive, upon request.] this chapter.

Sec. 47. NRS 584.573 is hereby amended to read as
follows:

584.573 1. A distributor shall not sell a substitute dairy
product, as defined in NRS 584.176, below its cost to him.

2. A distributor who sells or distributes a substitute
dairy product shall file with the commission a statement of the cost of the
substitute dairy product to him. The statement must be supplemented
periodically as required by regulations adopted by the [state dairy]
commission. The commission shall keep all statements confidential except when
used in a judicial proceeding or an administrative proceeding relating to the
provisions of this chapter.

Sec. 48. NRS 584.630 is hereby amended to read as
follows:

584.630 [1. A distributor who is subject to any stabilization and
marketing plan as established by the commission shall:

(a) Pay to
the commission an assessment of one-half cent per pound of milk fat contained
in all fluid milk or fluid cream, or both, produced by him or purchased from a
producer in this state;

(b) Deduct
from any payment due a producer in this state and pay to the commission an
assessment of one-half cent per pound of milk fat contained in all fluid milk
or fluid cream, or both, purchased from that producer, and pay to the
commission the same amount on the same material if produced by the distributor;
and

(c) Pay to
the commission an assessment of 1 cent per pound of milk fat contained in all
fluid milk or fluid cream, or both, imported into this state in bulk or as
finished products and not otherwise subject to assessment.

2. The
assessments received by the commission must be used in the administration and
enforcement of NRS 584.325 to 584.690, inclusive.] The commission shall assess each
distributor of fluid milk or fluid cream a sum not exceeding one-quarter cent
per pound on all fluid milk or fluid cream distributed by the distributor.

Sec. 49. NRS 584.633 is hereby amended to read as
follows:

584.633 1. The commission shall assess each distributor
of butter a sum not exceeding 2 cents per pound on all butter distributed by
the distributor.

2. [Except as otherwise provided in subsection 3, the]The commission shall
assess all distributors of fresh dairy products a sum not exceeding 4 cents per
gallon on all ice cream, sherbet or ice cream or ice milk mixes, and a sum not
exceeding 2 cents per pound on all cottage cheese and yogurt distributed by the
distributors.

[3. In determining the amount to be assessed a distributor
pursuant to subsection 2, the commission shall credit the distributor with any
amount which, pursuant to paragraph (a) or (c) of subsection 1 of NRS 584.630,
was assessed and paid upon fluid milk and fluid cream which was then used in
manufacturing the product subject to the assessment prescribed in subsection 2.]

Sec. 50. NRS 584.635 is hereby amended to read as
follows:

584.635 1. The commission may lower the rate of any
assessment required to be paid under NRS 584.630 or 584.633, whenever it finds
that the cost of administering the provisions of [NRS 584.325 to 584.690,
inclusive,]this
chapter can be defrayed from revenues derived from the lower
rates.

2. A distributor shall pay the amount of the assessment
to the commission on or before the 15th of the month following the month during
which the fluid milk or fluid cream was received or the butter or fresh dairy
product was distributed. If the assessment for the month is less than $3, the
distributor may delay payment for 3 months or until the cumulative assessments
are $3 or more, whichever occurs first.

3. If payments of assessments are not made as provided
in subsection 2, the commission shall charge, as a penalty for the late
payment, the amount of $10 or [1 percent per month]10 percent of the total
amount due but remaining unpaid, whichever is greater.

Sec. 51. NRS 584.660 is hereby amended to read as
follows:

584.660 1.
The commission shall, within 30 days [prior to]before each general
session of the legislature, submit to the governor a full and true report of
the transactions [under NRS 584.325 to 584.690, inclusive,]pursuant to this chapter during
the preceding biennium, including a complete statement of receipts and
expenditures during [such]that period, together with its legislative
recommendations.

2. This
report is a public record and must be made available for public inspection
within a reasonable time after it is submitted to the governor.

Sec. 52. NRS 584.665 is hereby amended to read as
follows:

584.665 In addition to the compilation of information
pertaining to fluid milk and fluid cream from the reports required by NRS
584.325 to 584.690, inclusive, the commission shall collect, assemble, compile
and distribute statistical data relative to fluid milk, fluid cream, other milk
and milk products, and such other information as may relate to the dairy
industry and the provisions of [NRS 584.325 to 584.690, inclusive.]this chapter. For the purposes of this
section, the commission may require such information as it deems necessary from distributors, producers, cooperative associations
of producers, retailers and others who are engaged in the production, sale,
distribution, handling or transportation of fluid milk, fluid cream or other
dairy products.

deems necessary from distributors, producers, cooperative
associations of producers, retailers and others who are engaged in the
production, sale, distribution, handling or transportation of fluid milk, fluid
cream or other dairy products.

Sec. 53. NRS 584.670 is hereby amended to read as
follows:

584.670 1. The violation of any provision of NRS
584.325 to 584.690, inclusive, or of any stabilization and marketing plan,
including any price requirements of such a plan, or of any of the unfair practice
provisions set forth in [such]those sections, is a misdemeanor, and also is
ground for revocation or suspension of a license in the manner set forth in NRS
584.325 to 584.690, inclusive.

2. Every distributor [must]shall pay for fluid
milk or fluid cream delivered to him or it at the time and in the manner
specified in the contract with the producer. Failure to make such a payment is ground for
refusal, suspension or revocation of a license in the manner set forth in NRS
584.325 to 584.690, inclusive.

3. In addition to any other penalty provided by NRS
584.325 to 584.690, inclusive, the commission may impose a penalty of not more
than $1,000 for each violation, to be recovered by the commission in a civil
action in a court of competent jurisdiction. All sums recovered under this
subsection must be deposited with the state treasurer [to the credit of the
dairy commission fund and expended solely for the enforcement of NRS 584.325 to
584.690, inclusive.] for credit to the state general fund.

Sec. 54. NRS 584.675 is hereby amended to read as
follows:

584.675 1. The commission may refuse to grant any
license herein provided and may revoke or suspend any such license as the case
may require when it is satisfied that any applicant or licensee has violated
any provision of [NRS 584.325 to 584.690, inclusive;] this chapter, but no
order [shall]may be made refusing, revoking or suspending
any license except after hearing upon at least 10 days notice to the applicant
or licensee.

2. The decision may include an order refusing, revoking
or suspending the license applied for or held by the respondent, or fixing such
other conditional and probationary orders as may be proper for the enforcement
of [NRS 584.325 to 584.690, inclusive.] this chapter.

3. After any decision, including any conditional or
probationary orders, should the respondent
fail, refuse or neglect to comply with any such orders, the commission may
suspend or revoke the license in accordance with the procedure provided in this
section.

4. Previous violation by any applicant or by any person
connected with the applicant of any provision of [NRS 584.325 to 584.690,
inclusive, shall be good and sufficient]this chapter is ground for
denial, revocation or suspension of a license.

Sec. 55. NRS 439.240 is hereby amended to read as
follows:

439.240 1. The University of Nevada School of Medicine
shall maintain the state hygienic laboratory, heretofore established pursuant
to the provisions of chapter 230, Statutes of Nevada 1909, and may establish
and maintain such branch laboratories as may be necessary.

2. The purpose of the state hygienic laboratory is:

(a) To make available, at such charges as may be [determined
upon,]established,
to health officials ,
the state dairy commission and licensed physicians of the state , proper laboratory
facilities for the prompt diagnosis of communicable diseases.

(c) To conduct research into the nature, cause, diagnosis
and control of diseases.

(d) To undertake such other technical and laboratory
duties as are in the interest of the health of the general public.

3. The person in charge of the state hygienic
laboratory, or his designee, must be a skilled bacteriologist.

4. The person in charge of the state hygienic laboratory
may have such technical assistants as that person, in cooperation with the
University of Nevada School of Medicine, considers necessary.

5. Reports of investigations conducted at the state
hygienic laboratory may be published from time to time in bulletins and
circulars.

Sec. 56. NRS 439.540 is hereby amended to read as
follows:

439.540 Nothing contained in this chapter [shall]may be construed as
modifying or altering the powers conferred by law upon the commissioner of food
and drugs with respect to the adulteration, mislabeling or misbranding of
foods, drugs, medicines and liquors, or the powers conferred by law upon the state dairy commission with
respect to the weighing and testing of dairy products to prevent
fraud.

Sec. 57. NRS 584.330 and 584.545 are hereby repealed.

Sec. 58. Any administrative regulations governing milk
or milk products adopted by the state board of health, the commissioner of food
and drugs or the health division of the department of human resources, shall be
deemed to have been adopted by the state dairy commission of the department of
business and industry and remain in effect until amended or repealed by the
commission.

Sec. 59. 1. This section becomes effective upon
passage and approval.

2. Sections 1 to 47, inclusive, and 51 to 58, inclusive, of
this act become effective upon passage and approval for the purpose of adopting
regulations and conducting any preliminary activities necessary to carry out
the provisions of this act in a timely manner, and on January 1, 2002, for all
other purposes.

3. Sections 48, 49, and 50 of this act become effective on
July 1, 2001.

________

κ2001
Statutes of Nevada, Page 2440κ

CHAPTER 508, SB 531

Senate
Bill No. 531Committee on Natural Resources

CHAPTER 508

AN ACT relating to the Colorado River commission;
changing the name of the commission to the Colorado River commission of Nevada;
changing the titles of certain officers of the commission; removing the option
of the executive director of the commission and the deputy executive director
of the commission to engage, under certain circumstances, in a business or
occupation or hold another office for profit that is in addition to their
employment with the commission; and providing other matters properly relating
thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. NRS 538.041 is hereby amended to
read as follows:

538.041 As used in NRS 538.041 to 538.251, inclusive,
unless the context otherwise requires:

1. Colorado River means the Colorado River and all of
the tributaries of the river.

2. Commission means the Colorado River commission[.] of Nevada.

3. Commissioner means a commissioner of the Colorado
River commission[.] of Nevada.

4. [Director]Executive director means the executive director of the
Colorado River commission[.] of Nevada.

5. Southern Nevada Water Authority means the political
subdivision of the State of Nevada created on July 25, 1991, by a cooperative
agreement entered into on that date pursuant to the provisions of NRS 277.080
to 277.180, inclusive.

6. Supplemental water means water from any source
which, if acquired, would allow water to be used consumptively from the
mainstream of the Colorado River in excess of Nevadas apportionment pursuant
to the Boulder Canyon Project Act of 1928. The term does not include water
from:

(a) Lake Tahoe;

(b) The Truckee, Carson or Walker river;

(c) Any ground water within the State of Nevada, other
than ground water within Clark County; or

(d) Any surface water within the State of Nevada or that
flows into the State of Nevada, other than the waters of the Colorado River,

unless the state engineer authorizes the transfer of that
water to the Colorado River pursuant to the provisions of this chapter or
chapter 532, 533 or 534 of NRS.

7. Water purveyor means a public entity created by or
pursuant to the laws of this state which:

(a) Is engaged in:

(1) The acquisition of water on behalf of, or the
delivery of water to, another water purveyor; or

(2) The retail delivery of water in this state; and

(b) Is not a member of another such public entity that is
itself engaged in the activities described in paragraph (a).

538.051 The Colorado River commission[,]of Nevada, consisting of
seven members, is hereby created. Four members must be appointed by the
governor. Three members must be appointed by the board of directors of the
Southern Nevada Water Authority. The governor shall designate one of his
appointees to serve as chairman of the commission.

Sec. 3. NRS 538.101 is hereby amended to read as
follows:

538.101 1. While engaged in official business of the
commission, each commissioner appointed by the governor is entitled to receive
a salary of not more than $80 per day, as fixed by the commission.

2. While engaged in the business of the commission, each
member and employee of the commission is entitled to receive the per diem
allowance and travel expenses provided for state officers and employees
generally.

3. The executive
director or an employee of the commission designated by the executive director shall certify
all bills and claims for compensation, per diem expense allowances and travel
expenses of the commissioners, and shall submit them for payment in the same
manner as all other state claims. The bills and claims must be paid from the
Colorado River commission fund or any other fund administered by the commission
and designated to be used for those expenses by the executive director.

4. The commission shall provide its members who are
appointed by the governor with industrial insurance through a private carrier
authorized to provide industrial insurance in this state and shall budget and
pay for the premiums for that insurance.

Sec. 4. NRS 538.111 is hereby amended to read as
follows:

538.111 At the first meeting of the commission in each
calendar year, the commission shall select the vice chairman for the ensuing
calendar year. The executive director
shall provide necessary secretarial service for the commission.

Sec. 5. NRS 538.121 is hereby amended to read as
follows:

538.121 The principal place of business of the
commission must be in Clark County, as particularly determined by the executive director.

Sec. 6. NRS 538.131 is hereby amended to read as
follows:

538.131 1. The commissioners shall meet at such times
and in such places as are designated by the chairman; but a majority of the
commissioners may call a meeting of the commission at any time and place
designated by them in a written notice thereof given all commissioners as
provided in this subsection. Except in cases of an emergency, written notice of
all meetings must be given to each commissioner by the executive director at least 3 working days
before each meeting. Every notice must include information concerning the time,
location and agenda for the meeting. A meeting of the commission must be held
at least quarterly.

2. A majority of the commissioners constitute a quorum
for the transaction of business.

3. As used in this section, emergency means any
unforeseen circumstance which requires immediate action by the commission and
includes:

(a) Any disaster caused by a fire, flood, earthquake or
other natural cause; or

(b) Any circumstance which impairs the health and safety
of the public.

(c) Shall devote
his entire time and attention to the business of his office and shall not
pursue any other business or occupation or hold any other office of profit.

Sec. 8. NRS 538.135 is hereby amended to read as
follows:

538.135 The executive
director:

1. Is responsible for administering and carrying out the
policies of the commission.

2. Shall direct and supervise all the technical and
administrative activities of the commission.

3. Shall report to the commission all relevant and
important matters concerning the administration of his office. He is subject to
the supervision of the commission and is responsible, unless otherwise provided
by law, for the conduct of the administrative function of the commissions
office.

4. Shall perform any lawful act which he considers
necessary or desirable to carry out the purposes and provisions of [this
chapter,] NRS 321.480 to 321.536, inclusive, and 538.010
to 538.251, inclusive, and any other provisions of law relating to the powers
and duties of the commission.

3. Except as otherwise provided in NRS 284.143, the
deputy director shall]; and

(b) Shall devote
his entire time and attention to the business of his office and shall not
pursue any other business or occupation or hold any other office of profit.

Sec. 10. NRS 538.141 is hereby amended to read as
follows:

538.141 The executive
director shall ,
within the limits of available money, employ such assistants and
employees as may be necessary to carry out his functions and duties. The
assistants and employees have such duties as may be prescribed by the executive director.

Sec. 11. NRS 538.211 is hereby amended to read as
follows:

538.211 [1. The faith and credit of the State of Nevada hereby is
irrevocably pledged for the performance and observance of all covenants,
conditions, limitations, promises and undertakings made or specified to be
kept, observed or fulfilled on the part of this state, in any contract entered
into on or before January 1, 1996, with the United States of America relating
to the Robert B. Griffith Water Project.

2.]
If the State of Nevada must purchase or otherwise acquire property, or
compensate for damage to property, for use in the transmission and distribution
of water or electrical power, the faith and credit of the State of Nevada
hereby is irrevocably pledged for the performance and observance of all covenants,
conditions, limitations, promises and undertakings made or specified to be
kept, observed or fulfilled on the part of the state, in any contract entered into before, on or after July 1, 1981,
pursuant to NRS 538.161 and 538.186.

contract entered into before, on or after July 1, 1981,
pursuant to NRS 538.161 and 538.186.

Sec. 12. NRS 543.550 is hereby amended to read as
follows:

543.550 1. There is hereby granted to a district the
right of way for the construction and maintenance of floodways, ditches,
waterways, conduits, canals, dikes, embankments, basins for retention or
detention of water and protective works in, over and across public lands of the
State of Nevada not otherwise disposed of or in use, but not in any case
exceeding the length or width necessary for the construction of those works and
adjuncts or for the protection thereof.

2. Whenever any selection of right of way for those
works or adjuncts is made by the district, the board shall transmit to the
division of state lands of the state department of conservation and natural
resources and any other agency or entity of the state owning land in the area,
including the University and Community College System of Nevada[,]and the Colorado River [Commission,]commission of Nevada, and
to the county recorder of the county in which the selected lands are situated a
plat of the lands so selected, giving the extent thereof and the uses for which
they are claimed or desired, verified to be correct.

3. If the division of state lands of the state
department of conservation and natural resources approves the selection so
made, it must be endorsed upon the plat and a permit must be issued to use the
rights of way and land.

Sec. 13. NRS 321.490 is hereby amended to read
as follows:

321.490 1. As used in NRS 321.480 to 321.536,
inclusive, unless the context otherwise requires:

(a) Commission means the Colorado River commission[.] of Nevada.

(b) Development and develop include the:

(1) Preparation of a proposal, plans for a
subdivision, plans for a zoning district or zoning regulations, or any other
acts in conformance with chapters 278 and 278A of NRS and any local master
plans, regulations and ordinances governing the improvement or use of land or
the location and construction of structures;

(2) Planning, design, construction or any other act
necessary to acquire, extend, alter, reconstruct, repair or make other
improvements to a project; and

(3) Solicitation, consideration and approval of
proposals for the use of land,

in the Fort Mohave Valley.

2. As used in this section, project means any
structure, facility, undertaking or system which a county, city, town, general
improvement district or special district is authorized to acquire, improve,
equip, maintain or operate, including all kinds of personal and real property,
improvements and fixtures thereon, property of any nature appurtenant thereto
or used in connection therewith and every estate, interest and right therein,
legal or equitable, including terms for years, or any combination thereof.

Sec. 14. NRS 349.225 is hereby amended to read as
follows:

349.225 Except for bonds issued by the Colorado River
commission of Nevada which
are additionally supported by pledged revenues of a project, any general
obligation bond authorized on the behalf and in the name of the state is
subject to the review and approval of the state board of finance, unless
otherwise provided by statute.

353A.020 1. The director, in consultation with the
committee and legislative auditor, shall adopt a uniform system of internal
accounting and administrative control for agencies. The elements of the system
must include, without limitation:

(a) A plan of organization which provides for a
segregation of duties appropriate to safeguard the assets of the agency;

(b) A plan which limits access to assets of the agency to
persons who need the assets to perform their assigned duties;

(c) Procedures for authorizations and recordkeeping which
effectively control accounting of assets, liabilities, revenues and expenses;

(d) A system of practices to be followed in the
performance of the duties and functions of each agency; and

(e) An effective system of internal review.

2. The director, in consultation with the committee and
legislative auditor, may modify the system whenever he considers it necessary.

3. Each agency shall develop written procedures to carry
out the system of internal accounting and administrative control adopted
pursuant to this section.

4. For the purposes of this section, agency does not
include:

(a) A board or commission created by the provisions of
chapters 623 to 625, inclusive, 628 to 644, inclusive, 654 and 656 of NRS.

(b) The University and Community College System of
Nevada.

(c) The public employees retirement system.

(d) The housing division of the department of business
and industry.

(e) The Colorado River [Commission.] commission of Nevada.

Sec. 16. NRS 353A.025 is hereby amended to read as
follows:

353A.025 1. The head of each agency shall periodically
review the agencys system of internal accounting and administrative control to
determine whether it is in compliance with the uniform system of internal
accounting and administrative control for agencies adopted pursuant to
subsection 1 of NRS 353A.020.

2. On or before July 1 of each even-numbered year, the
head of each agency shall report to the director whether the agencys system of
internal accounting and administrative control is in compliance with the
uniform system adopted pursuant to subsection 1 of NRS 353A.020. The reports
must be made available for inspection by the members of the legislature.

3. For the purposes of this section, agency does not
include:

(a) A board or commission created by the provisions of
chapters 623 to 625, inclusive, 628 to 644, inclusive, 654 and 656 of NRS.

(b) The University and Community College System of
Nevada.

(c) The public employees retirement system.

(d) The housing division of the department of business
and industry.

(e) The Colorado River [Commission.] commission of Nevada.

4. The director shall, on or before the first Monday in
February of each odd-numbered year, submit a report on the status of internal
accounting and administrative controls in agencies to the:

(a) Director of the legislative counsel bureau for
transmittal to the:

5. The report submitted by the director pursuant to
subsection 4 must include, without limitation:

(a) The identification of each agency that has not
complied with the requirements of subsections 1 and 2;

(b) The identification of each agency that does not have
an effective method for reviewing its system of internal accounting and
administrative control; and

(c) The identification of each agency that has weaknesses
in its system of internal accounting and administrative control, and the extent
and types of such weaknesses.

Sec. 17. Sections 2 and 3 of Senate Bill No. 561 of
this session are hereby amended to read as follows:

Sec. 2. NRS 353A.020 is
hereby amended to read as follows:

353A.020 1. The director,
in consultation with the committee and legislative auditor, shall adopt a
uniform system of internal accounting and administrative control for agencies.
The elements of the system must include, without limitation:

(a) A plan of organization
which provides for a segregation of duties appropriate to safeguard the assets
of the agency;

(b) A plan which limits
access to assets of the agency to persons who need the assets to perform their
assigned duties;

(c) Procedures for
authorizations and recordkeeping which effectively control accounting of
assets, liabilities, revenues and expenses;

(d) A system of practices to
be followed in the performance of the duties and functions of each agency; and

(e) An effective system of
internal review.

2. The director, in
consultation with the committee and legislative auditor, may modify the system
whenever he considers it necessary.

3. Each agency shall develop
written procedures to carry out the system of internal accounting and
administrative control adopted pursuant to this section.

4. For the purposes of this
section, agency does not include:

(a) A board [or
commission] created by the provisions of chapters 623 to [625,]625A, inclusive, 628
, 630 to 640A, inclusive, 641 to 644,
inclusive, 654 and 656 of NRS.

(b) The University and
Community College System of Nevada.

(c) The public employees
retirement system.

(d) The housing division of
the department of business and industry.

(e) The Colorado River commission
of Nevada.

Sec. 3. NRS 353A.025 is
hereby amended to read as follows:

353A.025 1. The head of each
agency shall periodically review the agencys system of internal accounting and
administrative control to determine whether it is in compliance with the
uniform system of internal accounting and administrative control for agencies
adopted pursuant to subsection 1 of NRS 353A.020.

2. On or before July 1 of
each even-numbered year, the head of each agency shall report to the director
whether the agencys system of internal accounting and administrative control
is in compliance with the uniform system adopted pursuant to subsection 1 of
NRS 353A.020. The reports must be made available for inspection by the members
of the legislature.

(a) A board [or
commission] created by the provisions of chapters 623 to [625,]625A, inclusive, 628
, 630 to 640A, inclusive, 641 to 644,
inclusive, 654 and 656 of NRS.

(b) The University and
Community College System of Nevada.

(c) The public employees retirement
system.

(d) The housing division of
the department of business and industry.

(e) The Colorado River
commission of Nevada.

4. The director shall, on or
before the first Monday in February of each odd-numbered year, submit a report
on the status of internal accounting and administrative controls in agencies to
the:

(a) Director of the
legislative counsel bureau for transmittal to the:

(1) Senate standing
committee on finance; and

(2) Assembly standing
committee on ways and means;

(b) Governor; and

(c) Legislative auditor.

5. The report submitted by
the director pursuant to subsection 4 must include, without limitation:

(a) The identification of
each agency that has not complied with the requirements of subsections 1 and 2;

(b) The identification of
each agency that does not have an effective method for reviewing its system of
internal accounting and administrative control; and

(c) The identification of
each agency that has weaknesses in its system of internal accounting and
administrative control, and the extent and types of such weaknesses.

Sec. 18. This act becomes effective upon passage and
approval.

Sec. 19. The Legislative Counsel shall:

1. In preparing the reprint and supplements to the Nevada
Revised Statutes, appropriately change any references to an officer, agency or
other entity whose name is changed or whose responsibilities are transferred
pursuant to the provisions of this act to refer to the appropriate officer,
agency or other entity.

2. In preparing supplements to the Nevada Administrative
Code, appropriately change any references to an officer, agency or other entity
whose name is changed or whose responsibilities are transferred pursuant to the
provisions of this act to refer to the appropriate officer, agency or other
entity.

________

κ2001
Statutes of Nevada, Page 2447κ

CHAPTER 509, AB 48

Assembly Bill No.
48Committee on Commerce and Labor

CHAPTER 509

AN ACT relating to industrial insurance; providing a
definition of policy year for the purpose of industrial insurance; requiring
that the assessments payable by private carriers to support the uninsured
employers claim fund, the subsequent injury fund for private carriers and the
fund for workers compensation and safety be based upon expected annual
premiums to be received by private carriers; specifying the circumstances under
which a policy of industrial insurance may exclude coverage for certain
employees covered by a consolidated insurance program; allowing certain
employers to report information concerning tips received by their employees by
a computerized program or process; revising the criteria for the assessment
rates for the subsequent injury fund for self-insured employers and
associations of self-insured public or private employers; authorizing a private
carrier to require a sole proprietor seeking coverage to submit to a physical
examination; eliminating the requirement that unpaid premiums bear interest at
the rate of 1 percent monthly; and providing other matters properly relating
thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1.Chapter 616A of NRS is hereby
amended by adding thereto a new section to read as follows:

Policy year
means the 12-month period during which a policy of industrial insurance is
effective.

Sec. 2. NRS 616A.025 is hereby amended to read as
follows:

616A.025 As used in chapters 616A to 616D, inclusive, of
NRS, unless the context otherwise requires, the words and terms defined in NRS
616A.030 to 616A.360, inclusive, and
section 1 of this act have the meanings ascribed to them in those
sections.

Sec. 3. NRS 616A.430 is hereby amended to read as
follows:

616A.430 1. There is hereby established as a special
revenue fund in the state treasury the uninsured employers claim fund, which
may be used only for the purpose of making payments in accordance with the
provisions of NRS 616C.220 and 617.401. The administrator shall administer the
fund and shall credit any excess money toward the assessments of the insurers
for the succeeding years.

2. All assessments, penalties, bonds, securities and all
other properties received, collected or acquired by the administrator for the
uninsured employers claim fund must be delivered to the custody of the state
treasurer.

3. All money and securities in the fund must be held by
the state treasurer as custodian thereof to be used solely for workers
compensation.

4. The state treasurer may disburse money from the fund
only upon written order of the state controller.

5. The state treasurer shall invest money of the fund in
the same manner and in the same securities in which he is authorized to invest
money of the state general fund. Income realized from the investment of the
assets of the fund must be credited to the fund.

6. The
administrator shall assess each insurer, including each employer who provides
accident benefits for injured employees pursuant to NRS 616C.265, an amount to
be deposited in the uninsured employers claim
fund.

claim fund. To
establish the amount of the assessment, the administrator shall determine the
amount of money necessary to maintain an appropriate balance in the fund for
each fiscal year and shall allocate a portion of that amount to be payable by
private carriers, a portion to be payable by self-insured employers, a portion
to be payable by associations of self-insured public or private employers and a
portion to be payable by the employers who provide accident benefits pursuant
to NRS 616C.265, based upon the expected annual expenditures for claims of each
group of insurers. After allocating the amounts payable, the administrator
shall apply an assessment rate to the:

(a) Private
carriers that reflects the relative hazard of the employments covered by the
private carriers, results in an equitable distribution of costs among the private
carriers and is based upon expected annual premiums to be received;

(b) Self-insured
employers that results in an equitable distribution of costs among the
self-insured employers and is based upon expected annual expenditures for
claims;

(c) Associations
of self-insured public or private employers that results in an equitable
distribution of costs among the associations of self-insured public or private
employers and is based upon expected annual expenditures for claims; and

(d) Employers
who provide accident benefits pursuant to NRS 616C.265 that reflects the
relative hazard of the employments covered by those employers, results in an
equitable distribution of costs among the employers and is based upon expected
annual expenditures for claims.

The administrator shall adopt regulations for the
establishment and administration of the assessment rates, payments and any penalties [, based upon expected
annual expenditures for claims. Assessment rates must reflect the relative
hazard of the employments covered by the insurers, and must be based upon
expected annual expenditures for claims.]that the administrator determines are
necessary to carry out the provisions of this subsection. As used in this
subsection, the term group of insurers includes the group of employers who
provide accident benefits for injured employees pursuant to NRS 616C.265.

7. The commissioner shall assign an actuary to review the
establishment of assessment rates. The rates must be filed with the
commissioner 30 days before their effective date. Any insurer who wishes to
appeal the rate so filed must do so pursuant to NRS 679B.310.

Sec. 4. NRS 616B.031 is hereby amended to read as
follows:

616B.031 [An]

1. Except
as otherwise provided in subsection 2, an insurer shall not issue
a policy of industrial insurance to an employer that does not cover each
employee of that employer who satisfies the definition of employee set forth in
NRS 616A.105 to 616A.225, inclusive.

2. If the
employer is a contractor or subcontractor who is engaged in the construction of
a project that is covered by a consolidated insurance program established
pursuant to NRS 616B.710 to 616B.737, inclusive, an insurer may issue a policy
of industrial insurance to that employer which does not cover an employee who:

(a) Is
assigned to participate in the construction of the project that is covered by
the consolidated insurance program; and

(b) Works
exclusively at the site of the construction project that is covered by the
consolidated insurance program.

Sec. 5. NRS 616B.222 is hereby amended to read as
follows:

616B.222 To determine the total amount paid to employees
for services performed, the maximum amount paid to any one employee during [the
year in which] a policy [of industrial insurance
is effective]year
shall be deemed to be $36,000.

(a) Make a copy of each report that an employee files
with the employer pursuant to 26 U.S.C. § 6053(a) to report the amount of his
tips to the United States Internal Revenue Service; and

(b) Submit the copy to his private carrier upon request
and retain another copy for his records or, if the employer is self-insured or
a member of an association of self-insured public or private employers, retain
the copy for his records . [;
and

(c) If he]

2. An
employer who maintains his records concerning payroll by a computerized program
or process that can produce a report on all employees which indicates:

(a) The
amount of tips reported by each employee pursuant to 26 U.S.C. § 6053(a); or

(b) The
amount of tips allocated to each employee pursuant to a formula applied by the
employer, whether by agreement of the employees or by imposition of the
employer,

may satisfy the
requirements of subsection 1 by submitting a copy of the report to his private
carrier and maintaining another copy of the report for his records.

3. An
employer who is not self-insured or a member of an association of
self-insured public or private employers[,]shall pay the private
carrier the premiums for the reported tips at the same rate as he pays on
regular wages.

[2. The division shall adopt regulations specifying the form
of the declaration required pursuant to subsection 1.

3.] 4. The private carrier,
self-insured employer or association of self-insured public or private employers shall
calculate compensation for an employee on the basis of wages paid by the
employer plus the amount of tips reported by the employee pursuant to 26 U.S.C.
§ [6053.]6053(a). Reports made after the date of injury
may not be used for the calculation of compensation.

[4.] 5. An employer shall notify his employees of
the requirement to report income from tips to calculate his federal income tax
and to include the income in the computation of benefits pursuant to chapters
616A to 616D, inclusive, and chapter 617 of NRS.

[5.] 6. The administrator shall adopt such
regulations as are necessary to carry out the provisions of this section.

Sec. 7. NRS 616B.554 is hereby amended to read as
follows:

616B.554 1. There is hereby established as a special
revenue fund in the state treasury the subsequent injury fund for self-insured
employers, which may be used only to make payments in accordance with the
provisions of NRS 616B.557 and 616B.560. The board shall administer the fund
based upon recommendations made by the administrator pursuant to subsection 8.

2. All assessments, penalties, bonds, securities and all
other properties received, collected or acquired by the board for the
subsequent injury fund for self-insured employers must be delivered to the
custody of the state treasurer.

3. All money and securities in the fund must be held by
the state treasurer as custodian thereof to be used solely for workers
compensation for employees of self-insured employers.

4. The state treasurer may disburse money from the fund
only upon written order of the board.

5. The state treasurer shall invest money of the fund in
the same manner and in the same securities in which he is authorized to invest
state general funds which are in his custody. Income realized from the
investment of the assets of the fund must be credited to the fund.

6. The board shall adopt regulations for the
establishment and administration of assessment rates, payments and penalties.
Assessment rates must [reflect the relative hazard of the employments covered by]result in an equitable
distribution of costs among the self-insured employers [,]
and must be based upon expected annual expenditures for claims for payments
from the subsequent injury fund for self-insured employers.

7. The commissioner shall assign an actuary to review
the establishment of assessment rates. The rates must be filed with the
commissioner 30 days before their effective date. Any self-insured employer who
wishes to appeal the rate so filed must do so pursuant to NRS 679B.310.

8. The administrator shall:

(a) Evaluate any claim submitted to the board for payment
or reimbursement from the subsequent injury fund for self-insured employers and
recommend to the board any appropriate action to be taken concerning the claim;
and

(b) Submit to the board any other recommendations
relating to the fund.

Sec. 8. NRS 616B.575 is hereby amended to read as
follows:

616B.575 1. There is hereby established as a special
revenue fund in the state treasury the subsequent injury fund for associations
of self-insured public or private employers, which may be used only to make payments
in accordance with the provisions of NRS 616B.578 and 616B.581. The board shall
administer the fund based upon recommendations made by the administrator
pursuant to subsection 8.

2. All assessments, penalties, bonds, securities and all
other properties received, collected or acquired by the board for the
subsequent injury fund for associations of self-insured public or private
employers must be delivered to the custody of the state treasurer.

3. All money and securities in the fund must be held by
the state treasurer as custodian thereof to be used solely for workers
compensation for employees of members of associations of self-insured public or
private employers.

4. The state treasurer may disburse money from the fund
only upon written order of the board.

5. The state treasurer shall invest money of the fund in
the same manner and in the same securities in which he is authorized to invest
state general funds which are in his custody. Income realized from the
investment of the assets of the fund must be credited to the fund.

6. The board shall adopt regulations for the
establishment and administration of assessment rates, payments and penalties.
Assessment rates must [reflect the relative hazard of the employments covered by]result in an equitable
distribution of costs among the associations of self-insured
public or private employers [,] and must be based upon expected
annual expenditures for claims for payments from the subsequent injury fund for
associations of self-insured public or private employers.

7. The commissioner shall assign an actuary to review
the establishment of assessment rates. The rates must be filed with the
commissioner 30 days before their effective date. Any association of
self-insured public or private employers that wishes to appeal the rate so
filed must do so pursuant to NRS 679B.310.

8. The administrator shall:

(a) Evaluate any claim submitted to the board for payment
or reimbursement from the subsequent injury fund for associations of
self-insured public or private employers and recommend to the board any
appropriate action to be taken concerning the claim; and

(b) Submit to the board any other recommendations
relating to the fund.

Sec. 9. NRS 616B.584 is hereby amended to read as
follows:

616B.584 1. There is hereby established as a special
revenue fund in the state treasury the subsequent injury fund for private carriers,
which may be used only to make payments in accordance with the provisions of
NRS 616B.587 and 616B.590. The administrator shall administer the fund.

2. All assessments, penalties, bonds, securities and all
other properties received, collected or acquired by the administrator for the
subsequent injury fund for private carriers must be delivered to the custody of
the state treasurer.

3. All money and securities in the fund must be held by
the state treasurer as custodian thereof to be used solely for workers
compensation for employees whose employers are insured by private carriers.

4. The state treasurer may disburse money from the fund
only upon written order of the state controller.

5. The state treasurer shall invest money of the fund in
the same manner and in the same securities in which he is authorized to invest
state general funds which are in his custody. Income realized from the
investment of the assets of the fund must be credited to the fund.

6. The administrator shall adopt regulations for the
establishment and administration of assessment rates, payments and penalties.
Assessment rates must reflect the relative hazard of the employments covered by
private carriers , must result in
an equitable distribution of costs among the private carriers and
must be based upon expected annual [expenditures for claims
for payments from the subsequent injury fund for private carriers.]premiums to be received.

7. The commissioner shall assign an actuary to review the
establishment of assessment rates. The rates must be filed with the
commissioner 30 days before their effective date. Any private carrier who
wishes to appeal the rate so filed must do so pursuant to NRS 679B.310.

Sec. 10. NRS 616B.624 is hereby amended to read as
follows:

616B.624 1. If a quasi-public or private corporation or
a limited-liability company is required to be insured pursuant to chapters 616A
to 616D, inclusive, of NRS, an officer of the corporation or a manager of the
company who:

(a) Receives pay for services performed as an officer,
manager or employee of the corporation or company shall be deemed for the
purposes of those chapters to receive a minimum pay of $6,000 per policy year [the
policy of industrial insurance for the employer is effective]
and a maximum pay of $36,000 per policy
year . [the
policy of industrial insurance is effective.]

(b) Does not receive pay for services performed as an
officer, manager or employee of the corporation or company shall be deemed for
the purposes of those chapters to receive a minimum pay of $500 per month or
$6,000 per policy year
. [the
policy of industrial insurance is effective.]

2. An officer or manager who does not receive pay for
services performed as an officer, manager or employee of the corporation or
company may elect to reject coverage for himself by filing written notice
thereof with the corporation or company and the insurer. The rejection is
effective upon receipt of the notice by the insurer.

3. An officer or manager of such a corporation or
company who:

(a) Owns the corporation or company;

(b) Operates the corporation or company exclusively from
his primary residence; and

(c) Receives pay for the services performed,

may elect to reject coverage for himself by filing written
notice thereof with the insurer. The rejection is effective upon receipt of the
notice by the insurer.

4. An officer or manager who has rejected coverage may
rescind that rejection by filing written notice thereof with the corporation or
company and the insurer. The rescission is effective upon receipt of the notice
by the insurer. Except as otherwise provided in subsection 3, if an officer or
manager who has rejected coverage receives pay for services performed as an
officer, manager or employee of the corporation or company, the officer or
manager shall be deemed to have rescinded that rejection.

5. A nonprofit corporation whose officers do not receive
pay for services performed as officers or employees of the corporation may
elect to reject coverage for its current officers and all future officers who
do not receive such pay by filing written notice thereof with the corporation
and the insurer. The rejection is effective upon receipt of the notice by the
insurer.

6. A nonprofit corporation which has rejected coverage
for its officers who do not receive pay for services performed as officers or
employees of the corporation may rescind that rejection by filing written
notice thereof with the corporation and the insurer. The rescission is
effective upon receipt of the notice by the insurer. If an officer of a
nonprofit corporation which has rejected coverage receives pay for services
performed as an officer or employee of the corporation, the corporation shall
be deemed to have rescinded that rejection.

Sec. 11. NRS 616B.659 is hereby amended to read as
follows:

616B.659 1. A sole proprietor may elect to be included
within the terms, conditions and provisions of chapters 616A to 616D,
inclusive, of NRS to secure for himself compensation equivalent to that to
which an employee is entitled for any accidental injury sustained by the sole
proprietor which arises out of and in the course of his self-employment by
filing a written notice of election with the administrator and a private
carrier.

2. A private
carrier may require a sole proprietor who elects to accept the
terms, conditions and provisions of chapters 616A to 616D, inclusive, of NRS [shall]to submit to a
physical examination before his coverage commences. [The]If a private carrier
requires such a physical
examination, the private carrier shall prescribe the scope of the
examination and shall consider it for rating purposes. The cost of the physical
examination must be paid by the sole proprietor.

3. A sole proprietor who elects to submit to the provisions
of chapters 616A to 616D, inclusive, of NRS shall pay to the private carrier
premiums in such manner and amounts as may be prescribed by the regulations of
the commissioner.

4. If a sole proprietor fails to pay all premiums
required by the regulations of the commissioner, the failure operates as a
rejection of chapters 616A to 616D, inclusive, of NRS.

5. A sole proprietor who elects to be included pursuant
to the provisions of chapters 616A to 616D, inclusive, of NRS remains subject
to all terms, conditions and provisions of those chapters and all regulations
of the commissioner until he files written notice with the administrator and
the private carrier that he withdraws his election.

6. For the purposes of chapters 616A to 616D, inclusive,
of NRS, a sole proprietor shall be deemed to be receiving a wage of $300 per
month unless, at least 90 days before any injury for which he requests
coverage, he files written notice with the administrator and the private
carrier that he elects to pay an additional amount of premiums for additional
coverage. If the private carrier receives the additional premiums it requires
for such additional coverage, the sole proprietor shall be deemed to be
receiving a wage of $1,800 per month.

Sec. 12. NRS 616B.730 is hereby amended to read as
follows:

616B.730 1. A consolidated insurance program must not
provide industrial insurance coverage, a comprehensive program of safety or for
the administration of claims for industrial insurance for an employee of a
contractor or subcontractor who is engaged in the construction of the project
that is covered by the consolidated insurance program at any time that such an
employee does not work at the site of the construction project.

2. A contractor or subcontractor who is engaged in the
construction of a project that is covered by a consolidated insurance program
shall maintain separate industrial insurance coverage for its employees who:

(a) Are not assigned to participate in the construction
of the project; or

(b) Are assigned to participate in the construction of
the project but who do not work exclusively
at the site of the project.

3. The owner or principal contractor of a construction
project shall reimburse a contractor or subcontractor who bids successfully on
the construction project for the cost of providing separate industrial
insurance coverage for an employee if:

(a) The contractor or subcontractor set the amount of his
bid in a reasonable, good faith belief that the employee would work exclusively at the site of
the construction project and would therefore be fully covered by the consolidated insurance
program; and

(b) Because of changed circumstances not reasonably
foreseeable at the time the bid was submitted, the employee worked in whole or
in part at a location other than the site of the construction project,
requiring the contractor or subcontractor to obtain
separate industrial insurance coverage for that employee.

contractor or subcontractor to obtain separate industrial
insurance coverage for that employee.

Sec. 13. NRS 616C.265 is hereby amended to read
as follows:

616C.265 1. Except as otherwise provided in NRS
616C.280, every employer operating under chapters 616A to 616D, inclusive, of
NRS, alone or together with other employers, may make arrangements to provide
accident benefits as defined in those chapters for injured employees.

2. Employers electing to make such arrangements shall
notify the administrator of the election and render a detailed statement of the
arrangements made, which arrangements do not become effective until approved by
the administrator.

3. Every employer who maintains a hospital of any kind
for his employees, or who contracts for the hospital care of injured employees,
shall, on or before January 30 of each year, make a written report to the
administrator for the preceding year, which must contain a statement showing:

(a) The total amount of hospital fees collected, showing
separately the amount contributed by the employees and the amount contributed
by the employers;

(b) An itemized account of the expenditures, investments
or other disposition of such fees; and

(c) What balance, if any, remains.

4. Every employer who provides accident benefits
pursuant to this section:

(a) Shall, in accordance with regulations adopted by the
administrator, make a written report to the division of his actual and expected
annual expenditures for claims and such other information as the division deems
necessary to calculate an estimated or final annual assessment [.]and shall, to the extent that the regulations refer to the
responsibility of insurers to make such reports, be deemed to be an insurer.

(b) Shall [be deemed to be an insurer for the purposes of]pay the assessments
collected pursuant to NRS 232.680 and [the regulations adopted
by the division pursuant to that section.]616A.430.

5. The reports required by the provisions of subsections
3 and 4 must be verified:

(a) If the employer is a natural person, by the employer;

(b) If the employer is a partnership, by one of the
partners;

(c) If the employer is a corporation, by the secretary,
president, general manager or other executive officer of the corporation; or

(d) If the employer has contracted with a physician or
chiropractor for the hospital care of injured employees, by the physician or
chiropractor.

6. No employee is required to accept the services of a
physician or chiropractor provided by his employer, but may seek professional
medical services of his choice as provided in NRS 616C.090. Expenses arising
from such medical services must be paid by the employer who has elected to
provide benefits, pursuant to the provisions of this section, for his injured
employees.

7. Every employer who fails to notify the administrator
of such election and arrangements, or who fails to render the financial reports
required, is liable for accident benefits as provided by NRS 616C.255.

616D.120 1. Except as otherwise provided in this
section, if the administrator determines that an insurer, organization for
managed care, health care provider, third-party administrator or employer has:

(a) Through fraud, coercion, duress or undue influence:

(1) Induced a claimant to fail to report an
accidental injury or occupational disease;

(2) Persuaded a claimant to settle for an amount
which is less than reasonable;

(3) Persuaded a claimant to settle for an amount
which is less than reasonable while a hearing or an appeal is pending; or

(4) Persuaded a claimant to accept less than the
compensation found to be due him by a hearing officer, appeals officer, court
of competent jurisdiction, written settlement agreement, written stipulation or
the division when carrying out its duties pursuant to chapters 616A to 617,
inclusive, of NRS;

(b) Refused to pay or unreasonably delayed payment to a
claimant of compensation found to be due him by a hearing officer, appeals
officer, court of competent jurisdiction, written settlement agreement, written
stipulation or the division when carrying out its duties pursuant to chapters
616A to 616D, inclusive, or chapter 617 of NRS, if the refusal or delay occurs:

(1) Later than 10 days after the date of the
settlement agreement or stipulation;

(2) Later than 30 days after the date of the
decision of a court, hearing officer, appeals officer or division, unless a
stay has been granted; or

(3) Later than 10 days after a stay of the decision
of a court, hearing officer, appeals officer or division has been lifted;

(c) Refused to process a claim for compensation pursuant
to chapters 616A to 616D, inclusive, or chapter 617 of NRS;

(d) Made it necessary for a claimant to initiate
proceedings pursuant to chapters 616A to 616D, inclusive, or chapter 617 of NRS
for compensation found to be due him by a hearing officer, appeals officer,
court of competent jurisdiction, written settlement agreement, written
stipulation or the division when carrying out its duties pursuant to chapters
616A to 616D, inclusive, or chapter 617 of NRS;

(e) Failed to comply with the divisions regulations
covering the payment of an assessment relating to the funding of costs of
administration of chapters 616A to 617, inclusive, of NRS;

(f) Failed to provide or unreasonably delayed payment to
an injured employee or reimbursement to an insurer pursuant to NRS 616C.165; or

(g) Intentionally failed to comply with any provision of,
or regulation adopted pursuant to, this chapter or chapter 616A, 616B, 616C or
617 of NRS,

the administrator shall impose an administrative fine of
$1,000 for each initial violation, or a fine of $10,000 for a second or
subsequent violation.

2. Except as otherwise provided in chapters 616A to
616D, inclusive, or chapter 617 of NRS, if the administrator determines that an
insurer, organization for managed care, health care provider, third-party
administrator or employer has failed to comply with any provision of this
chapter or chapter 616A, 616B, 616C or 617 of NRS, or any regulation adopted
pursuant thereto, the administrator may take any of the following actions:

(1) A minor violation, as defined by regulations
adopted by the division; or

(2) A violation involving the payment of
compensation in an amount which is greater than that required by any provision
of this chapter or chapter 616A, 616B, 616C or 617 of NRS, or any regulation
adopted pursuant thereto.

The notice of correction must set forth with particularity
the violation committed and the manner in which the violation may be corrected.
The provisions of this section do not authorize the administrator to modify or
negate in any manner a determination or any portion of a determination made by
a hearing officer, appeals officer or court of competent jurisdiction or a
provision contained in a written settlement agreement or written stipulation.

(b) Impose an administrative fine for:

(1) A second or subsequent violation for which a
notice of correction has been issued pursuant to paragraph (a); or

(2) Any other violation of this chapter or chapter
616A, 616B, 616C or 617 of NRS, or any regulation adopted pursuant thereto, for
which a notice of correction may not be issued pursuant to paragraph (a).

The fine imposed may not be greater than $250 for an initial
violation, or more than $1,000 for any second or subsequent violation.

(c) Order a plan of corrective action to be submitted to
the administrator within 30 days after the date of the order.

3. If the administrator determines that a violation of
any of the provisions of paragraphs (a) to (d), inclusive, of subsection 1 has
occurred, the administrator shall order the insurer, organization for managed
care, health care provider, third-party administrator or employer to pay to the
claimant a benefit penalty in an amount that is not less than $5,000 and not
greater than $25,000. To determine the amount of the benefit penalty, the
administrator shall consider the degree of physical harm suffered by the
injured employee or his dependents as a result of the violation of paragraph
(a), (b), (c) or (d) of subsection 1, the amount of compensation found to be
due the claimant and the number of fines and benefit penalties previously
imposed against the insurer, organization for managed care, health care
provider, third-party administrator or employer pursuant to this section. If
this is the third violation within 5 years for which a benefit penalty has been
imposed against the insurer, organization for managed care, health care
provider, third-party administrator or employer, the administrator shall also
consider the degree of economic harm suffered by the injured employee or his
dependents as a result of the violation of paragraph (a), (b), (c) or (d) of
subsection 1. Except as otherwise provided in this section, the benefit penalty
is for the benefit of the claimant and must be paid directly to him within 10
days after the date of the administrators determination. If the claimant is
the injured employee and he dies before the benefit penalty is paid to him, the
benefit penalty must be paid to his estate. Proof of the payment of the benefit
penalty must be submitted to the administrator within 10 days after the date of
his determination unless an appeal is filed pursuant to NRS 616D.140. Any
compensation to which the claimant may otherwise be entitled pursuant to
chapters 616A to 616D, inclusive, or chapter 617 of NRS must not be reduced by
the amount of any benefit penalty received pursuant to this subsection.

4. In addition to any fine or benefit penalty imposed
pursuant to this section, the administrator may assess against an insurer who
violates any regulation concerning the reporting of claims expenditures or premiums received that are used
to calculate an assessment ,
an administrative penalty of up to twice the amount of any underpaid
assessment.

5. If:

(a) The administrator determines that a person has
violated any of the provisions of NRS 616D.200, 616D.220, 616D.240, 616D.300,
616D.310 or 616D.350 to 616D.440, inclusive; and

(b) The fraud control unit for industrial insurance
established pursuant to NRS 228.420 notifies the administrator that the unit
will not prosecute the person for that violation,

the administrator shall impose an administrative fine of not
more than $10,000.

6. Two or more fines of $1,000 or more imposed in 1 year
for acts enumerated in subsection 1 must be considered by the commissioner as
evidence for the withdrawal of:

(a) A certificate to act as a self-insured employer.

(b) A certificate to act as an association of
self-insured public or private employers.

(c) A certificate of registration as a third-party
administrator.

7. The commissioner may, without complying with the
provisions of NRS 616B.327 or 616B.431, withdraw the certification of a
self-insured employer, association of self-insured public or private employers
or third-party administrator if, after a hearing, it is shown that the
self-insured employer, association of self-insured public or private employers
or third-party administrator violated any provision of subsection 1.

Sec. 15. NRS 617.207 is hereby amended to read as
follows:

617.207 1. If a quasi-public or private corporation or
limited-liability company is required to be insured pursuant to this chapter,
an officer of the corporation or a manager of the company who:

(a) Receives pay for service performed shall be deemed
for the purposes of this chapter to receive a minimum pay of $6,000 per policy year [the
policy of industrial insurance for the employer is effective]
and a maximum pay of $36,000 per policy
year . [the
policy of industrial insurance if effective.]

(b) Does not receive pay for services performed shall be
deemed for the purposes of this chapter to receive a minimum pay of $500 per
month or $6,000 per policy year
. [the
policy of industrial insurance is effective.]

2. An officer or manager who does not receive pay for
services performed may elect to reject coverage for himself by filing written
notice thereof with the corporation or company and the insurer. The rejection
is effective upon receipt of the notice by the insurer.

3. An officer or manager of such a corporation or
company who:

(a) Owns the corporation or company;

(b) Operates the corporation or company exclusively from
his primary residence; and

(c) Receives pay for the services performed,

may elect to reject coverage for himself by filing written
notice thereof with the insurer. The rejection is effective upon receipt of the
notice by the insurer.

4. An officer or manager who has rejected coverage may
rescind that rejection by filing written notice thereof with the corporation or
company and the insurer. The rescission is effective upon receipt of the notice
by the insurer.

Sec. 16. NRS 617.225 is hereby amended to read as
follows:

617.225 1. A sole proprietor may elect to be included
within the terms, conditions and provisions of this chapter to secure for
himself compensation equivalent to that to which an employee is entitled for
any occupational disease contracted by the sole proprietor which arises out of
and in the course of his self-employment by filing a written notice of election
with the administrator and a private carrier.

2. A private carrier may require a sole proprietor who
elects to accept the terms, conditions and provisions of this chapter [shall]
to submit to a physical examination by a physician selected by the private
carrier before the commencement of coverage and on a yearly basis thereafter. [The]If a private carrier requires such a physical examination, the private carrier shall
prescribe the scope of the examination and shall consider it for rating
purposes. The cost of the physical examination must be paid by the sole
proprietor.

3. A sole proprietor who elects to submit to the
provisions of this chapter shall pay to the private carrier premiums in such
manner and amounts as may be prescribed by the regulations of the commissioner.

4. If a sole proprietor fails to pay all premiums
required by the regulations of the commissioner, the failure operates as a
rejection of this chapter.

5. A sole proprietor who elects to be included under the
provisions of this chapter remains subject to all terms, conditions and provisions
of this chapter and all regulations of the commissioner until he files a
written notice with the private carrier and the administrator that he withdraws
his election.

6. For purposes of this chapter, a sole proprietor shall
be deemed to be an employee receiving a wage of $300 per month.

Sec. 17. NRS 232.680 is hereby amended to read as
follows:

232.680 1. The cost of carrying out the provisions of
NRS 232.550 to 232.700, inclusive, and of supporting the division, a full-time
employee of the legislative counsel bureau, the fraud control unit for
industrial insurance established pursuant to NRS 228.420 and the legislative
committee on workers compensation created pursuant to NRS 218.5375, and that
portion of the cost of the office for consumer health assistance established
pursuant to NRS 223.550 that is related to providing assistance to consumers
and injured employees concerning workers compensation, must be paid from
assessments payable by each insurer, including each employer who provides
accident benefits for injured employees pursuant to NRS 616C.265 . [,]

2. The
administrator shall assess each insurer, including each employer who provides
accident benefits for injured employees pursuant to NRS 616C.265. To establish
the amount of the assessment, the administrator shall determine the amount of
money necessary for each of the expenses set forth in subsections 1 and 4 of
this section and subsection 3 of NRS 616A.425 and determine the amount that is
payable by the private carriers, the self-insured employers, the associations
of self-insured public or private employers and the employers who provide
accident benefits pursuant to NRS 616C.265 for each of the programs. For the
expenses from which more than one group of insurers receives benefit, the administrator shall allocate a portion of the amount necessary
for that expense to be payable by each of the relevant group of insurers, based
upon the expected annual expenditures for claims of each group of insurers.

administrator
shall allocate a portion of the amount necessary for that expense to be payable
by each of the relevant group of insurers, based upon the expected annual
expenditures for claims of each group of insurers. After allocating the amounts
payable among each group of insurers for all the expenses from which each group
receives benefit, the administrator shall apply an assessment rate to the:

(a) Private
carriers that reflects the relative hazard of the employments covered by the
private carriers, results in an equitable distribution of costs among the
private carriers and is based upon expected annual premiums to be received;

(b) Self-insured
employers that results in an equitable distribution of costs among the
self-insured employers and is based upon expected annual expenditures for
claims;

(c) Associations
of self-insured public or private employers that results in an equitable
distribution of costs among the associations of self-insured public or private
employers and is based upon expected annual expenditures for claims; and

(d) Employers
who provide accident benefits pursuant to NRS 616C.265 that reflect the
relative hazard of the employments covered by those employers, results in an
equitable distribution of costs among the employers and is based
upon expected annual expenditures for claims . [for injuries occurring on
or after July 1, 1999. The division]

The
administrator shall adopt regulations which establish [formulas
of assessment which result in an equitable distribution of costs among the
insurers and employers who provide accident benefits for injured employees. The
formulas may utilize]the formula for the assessment and for the administration of
payment, and any penalties that the administrator determines are necessary to
carry out the provisions of this subsection. The formula may use actual
expenditures for claims.

[2.]As used in this subsection, the term group of insurers
includes the group of employers who provide accident benefits for injured
employees pursuant to NRS 616C.265.

3. Federal
grants may partially defray the costs of the division.

[3.]4. Assessments made against insurers by the
division after the adoption of regulations must be used to defray all costs and
expenses of administering the program of workers compensation, including the
payment of:

(a) All salaries and other expenses in administering the
division, including the costs of the office and staff of the administrator.

(b) All salaries and other expenses of administering NRS
616A.435 to 616A.460, inclusive, the offices of the hearings division of the
department of administration and the programs of self-insurance and review of
premium rates by the commissioner of insurance.

(c) The salary and other expenses of a full-time employee
of the legislative counsel bureau whose principal duties are limited to
conducting research and reviewing and evaluating data related to industrial
insurance.

(d) All salaries and other expenses of the fraud control
unit for industrial insurance established pursuant to NRS 228.420.

(e) Claims against uninsured employers arising from
compliance with NRS 616C.220 and 617.401.

(f) All salaries and expenses of the members of the
legislative committee on workers compensation and any other expenses incurred
by the committee in carrying out its duties pursuant to NRS 218.5375 to
218.5378, inclusive.

(g) That portion of the salaries and other expenses of
the office for consumer health assistance established pursuant to NRS 223.550
that is related to providing assistance to consumers and injured employees
concerning workers compensation.

Sec. 18. NRS 616B.236 is hereby repealed.

Sec. 19. 1. This section and sections 1 to 9,
inclusive, 11 to 14, inclusive, and 16, 17 and 18 of this act become effective
on July 1, 2001.

2. Sections 10 and 15 of this act become effective at 12:01
a.m. on July 1, 2001.

AN ACT relating to health care; requiring hearing
screenings for newborn children or referrals for such screenings; providing
exceptions; establishing the duties of hospitals and obstetric centers
concerning the provision of hearing screenings; requiring the state board of
health to adopt certain regulations; requiring the health division of the
department of human resources to create brochures concerning hearing screenings
of newborn children for distribution to the parents and legal guardians of
newborn children; and providing other matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. Chapter 442 of NRS is hereby amended
by adding thereto the provisions set forth as sections 2 to 11, inclusive, of
this act.

Sec. 2. As
used in sections 2 to 11, inclusive, of this act, unless the context otherwise
requires, the words and terms defined in sections 3, 4 and 5 of this act have
the meanings ascribed to them in those sections.

Sec. 3. Hearing
screening means a test or battery of tests administered to determine the need
for an in-depth hearing diagnostic evaluation.

Sec. 4. Hospital has the meaning ascribed to it in NRS 449.012.

Sec. 5. Provider
of hearing screenings means a health care provider who, within the scope of
his license or certificate, provides for hearing screenings of newborn children
in accordance with sections 2 to 11, inclusive, of this act. The term includes
a licensed audiologist, a licensed physician or an appropriately supervised
person who has documentation that demonstrates to the state board of health
that he has completed training specifically for conducting hearing screenings
of newborn children.

Sec. 6. 1.
Except as otherwise provided in this section and section 8 of this act, a
licensed hospital in this state that provides services for maternity care and
the care of newborn children and a licensed obstetric center in this state
shall not discharge a newborn child who was born in the facility until the
newborn child has undergone a hearing screening for the detection of hearing
loss to prevent the consequences of unidentified disorders, or has been
referred for such a hearing screening.

2. The
requirements of subsection 1 do not apply to a hospital in which fewer than 500
childbirths occur annually.

3. The state
board of health shall adopt such regulations as are necessary to carry out the
provisions of sections 2 to 11, inclusive, of this act.

Sec. 7. 1.
A hearing screening required by section 6 of this act must be conducted by a
provider of hearing screenings.

2. A licensed
hospital and a licensed obstetric center shall hire, contract with or enter
into a written memorandum of understanding with a provider of hearing
screenings to:

(a) Conduct a
program for hearing screenings on newborn children in accordance with sections
2 to 11, inclusive, of this act;

(b) Provide
appropriate training for the staff of the hospital or obstetric center;

(c) Render
appropriate recommendations concerning the program for hearing screenings; and

(d) Coordinate
appropriate follow-up services.

3. Not later
than 24 hours after a hearing screening is conducted on a newborn child,
appropriate documentation concerning the hearing screening, including, without
limitation, results, interpretations and recommendations, must be placed in the
medical file of the newborn child.

4. A licensed
hospital and a licensed obstetric center shall annually prepare and submit to
the health division a written report concerning hearing screenings of newborn
children in accordance with regulations adopted by the state board of health.
The report must include, without limitation, the number of newborn children
screened and the results of the screenings.

5. The health
division shall annually prepare and submit to the governor a written report relating
to hearing tests for newborn children. The written report must include, without
limitation:

(a) A summary of
the results of hearing screenings administered to newborn children and any
other related information submitted in accordance with the regulations of the
state board of health;

(b) An analysis
of the effectiveness of the provisions of sections 2 to 11, inclusive, of this
act in identifying loss of hearing in newborn children; and

(c) Any related
recommendations for legislation.

Sec. 8. A
newborn child may be discharged from the licensed hospital or obstetric center
in which he was born without having undergone a required hearing screening or
having been referred for a hearing screening if a parent or legal guardian of
the newborn child objects in writing to the hearing screening. The hospital or
obstetric center shall place the written objection of the parent or legal
guardian to the hearing screening in the medical file of the newborn child.

Sec. 9. If
a hearing screening conducted pursuant to section 6 of this act indicates that
a newborn child may have a hearing loss, the physician attending to the newborn
child shall recommend to the parent or legal guardian of the newborn child that
the newborn child receive an in-depth hearing diagnostic evaluation.

Sec. 10.A licensed hospital and a licensed
obstetric center shall formally designate a lead physician or audiologist to be
responsible for:

1. The administration of the program for conducting
hearing screenings of newborn children; and

2. Monitoring
the scoring and interpretation of the test results of the hearing screenings.

Sec. 11.1. The health division shall create
written brochures that use terms which are easily understandable to a parent or
legal guardian of a newborn child and include, without limitation:

(a) Information concerning the importance of screening
the hearing of a newborn child; and

(b) A description of the normal development of auditory
processes, speech and language in children.

2. The health
division shall provide the brochures created pursuant to subsection 1 to each
licensed hospital and each licensed obstetric center in this state. These
facilities shall provide the brochures to the parents or legal guardians of a
newborn child.

Sec. 12. (Deleted by amendment.)

Sec. 13. The state board of health shall adopt
regulations to carry out the provisions of this act by January 1, 2002.

Sec. 14. 1. This section becomes effective on July 1,
2001.

2. Sections 1 to 13, inclusive, of this act become effective:

(a) On July 1, 2001, for the purpose of adopting regulations
by the state board of health to carry out the provisions of this act; and

AN ACT relating to financial institutions; revising
various provisions regarding the regulation of mortgage brokers and mortgage
agents; requiring the holder of certain escrows to obtain certain information
from mortgage brokers and mortgage companies; requiring mortgage brokers and
mortgage agents to attend certain courses of continuing education; authorizing
the commissioner of financial institutions to adopt regulations to increase
certain fees for mortgage brokers in certain circumstances; revising provisions
relating to certain advertisements and disclosures by mortgage brokers;
revising provisions concerning certain powers of attorney; requiring mortgage
brokers to register their mortgage agents with the division of financial
institutions of the department of business and industry on an annual basis;
requiring mortgage agents to pay an annual registration fee; and providing
other matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. NRS 645A.173 is hereby amended to
read as follows:

645A.173 [At the time that]

1. If an
escrow for the sale of real property is established, the holder of the escrow
shall , on the date of
establishment of the escrow, record in writing the number and the
date of expiration of the:

[1.](a) License issued pursuant to chapter 645 of
NRS; or

[2.](b) Certificate of cooperation issued pursuant
to NRS 645.605,

of any real estate broker, broker-salesman or salesman who
will be paid compensation from money held in the escrow for performing the
services of a real estate broker, broker-salesman or salesman in the
transaction that is the subject of the escrow. The holder of the escrow is not
required to verify independently the validity of the number of the license or
certificate.

2. If an
escrow for the sale of real property is established and the real property is or
will be secured by a mortgage or deed of trust, the holder of the escrow shall,
on the date of establishment of the escrow, record in writing the number and
the date of expiration of the license issued pursuant to chapter 645B or 645E
of NRS of any mortgage broker or mortgage company associated with the mortgage
or deed of trust. The holder of the escrow is not required to verify
independently the validity of the number of the license.

Sec. 2. Chapter 645B of NRS is hereby amended
by adding thereto the provisions set forth as sections 3 and 4 of this act.

Sec. 3.Private investor means:

1. An investor
who is a natural person and who provides his own money for investment in a loan
secured by a lien on real property; and

2. Two or more
investors who are relatives and who jointly provide their own money for
investment in a loan secured by a lien on real property, unless the investors
are acting on behalf of a partnership, a corporation or some other separate
legal entity.

Sec. 4.1. In addition to the requirements set forth in NRS
645B.050, to renew a license:

(a) If the
licensee is a natural person, the licensee must submit to the commissioner
satisfactory proof that the licensee attended at least 5 hours of certified
courses of continuing education during the 12 months immediately preceding the
date on which the license expires.

(b) If the
licensee is not a natural person, the licensee must submit to the commissioner
satisfactory proof that each natural person who supervises the daily business
of the licensee attended at least 5 hours of certified courses of continuing
education during the 12 months immediately preceding the date on which the license
expires.

2. As used
in this section, certified course of continuing education means a course of
continuing education which relates to the mortgage industry or mortgage
transactions and which is:

(a) Certified
by the National Association of Mortgage Brokers or any successor in interest to
that organization; or

(b) Certified
in a manner established by the commissioner, if the National Association of
Mortgage Brokers or any successor in interest to that organization ceases to
exist.

Sec. 5. NRS 645B.010 is hereby amended to read
as follows:

645B.010 As used in this chapter, unless the context
otherwise requires, the words and terms defined in NRS 645B.0103 to 645B.0135,
inclusive, and section 3 of this
act have the meanings ascribed to them in those sections.

Sec. 6. NRS 645B.020 is hereby amended to read
as follows:

645B.020 1. A person who wishes to be licensed as a
mortgage broker must file a written application for a license with the office
of the commissioner and pay the fee required pursuant to NRS 645B.050. An
application for a license as a mortgage broker must:

(a) Be verified.

(b) State the name, residence address and business
address of the applicant and the location of each principal office and branch
office at which the mortgage broker will conduct business within this state.

(c) State the name under which the applicant will conduct
business as a mortgage broker.

(d) List the name, residence address and business address
of each person who will:

(1) If the applicant is not a natural person, have
an interest in the mortgage broker as a principal, partner, officer, director
or trustee, specifying the capacity and title of each such person.

(2) Be associated with or employed by the mortgage
broker as a mortgage agent.

(e) If the applicant is a natural person, include the
social security number of the applicant.

(f) Include a general business plan and a [manual
for policies and procedures for the mortgage broker and his mortgage agents
that includes, without limitation, the underwriting standards, restrictions and]description of the
policies and procedures that the mortgage broker and his mortgage agents will
follow to arrange and service loans and to conduct business pursuant to this
chapter.

(g) State the length of time the applicant has been
engaged in the business of a broker.

(h) Include a financial statement of the applicant and,
if applicable, satisfactory proof that the applicant will be able to maintain
continuously the net worth required pursuant to NRS 645B.115.

(i) Include any other information required pursuant to
the regulations adopted by the commissioner or an order of the commissioner.

2. If a mortgage broker will conduct business at one or
more branch offices within this state, the mortgage broker must apply for a
license for each such branch office.

3. Except as otherwise provided in this chapter, the
commissioner shall issue a license to an applicant as a mortgage broker if:

(a) The application complies with the requirements of
this chapter;

(b) The applicant submits the statement required pursuant
to NRS 645B.023, if the applicant is required to do so; and

(c) The applicant and each general partner, officer or
director of the applicant, if the applicant is a partnership, corporation or
unincorporated association:

(1) Has a good reputation for honesty,
trustworthiness and integrity and displays competence to transact the business
of a mortgage broker in a manner which safeguards the interests of the general
public. The applicant must submit satisfactory proof of these qualifications to
the commissioner.

(2) Has not been convicted of, or entered a plea of
nolo contendere to, a felony or any crime involving fraud, misrepresentation or
moral turpitude.

(3) Has not made a false statement of material fact
on his application.

(4) Has not had a license that was issued pursuant
to the provisions of this chapter or chapter 645E of NRS suspended or revoked
within the 10 years immediately preceding the date of his application.

(5) Has not had a license that was issued in any
other state, district or territory of the United States or any foreign country
suspended or revoked within the 10 years immediately preceding the date of his
application.

(6) Has not violated any provision of this chapter
or chapter 645E of NRS, a regulation adopted pursuant thereto or an order of
the commissioner.

Sec. 7. NRS 645B.050 is hereby amended to read
as follows:

645B.050 1. A license issued pursuant to this chapter
expires each year on June 30, unless it is renewed. To renew a license, the
licensee must submit to the commissioner on or before June 30 of each year:

(a) An application for renewal;

(b) The fee required to renew the license pursuant to
this section; [and]

(c) If the licensee is a natural person, the statement
required pursuant to NRS 645B.023 [.] ; and

(d) The
information required pursuant to section 4 of this act.

2. If the licensee fails to submit any item required
pursuant to subsection 1 to the commissioner on or before June 30 of any year,
the license is canceled. The commissioner may reinstate a canceled license if
the licensee submits to the commissioner:

(a) An application for renewal;

(b) The fee required to renew the license pursuant to
this section;

(c) If the licensee is a natural person, the statement
required pursuant to NRS 645B.023; [and

(d) A]

(d) The
information required pursuant to section 4 of this act; and

(e) Except
as otherwise provided in this section, a reinstatement fee of
$200.

3. Except as otherwise provided in NRS 645B.016, a
certificate of exemption issued pursuant to this chapter expires each year on
December 31, unless it is renewed. To renew a certificate of exemption, a
person must submit to the commissioner on or before December 31 of each year:

(a) An application for renewal that includes satisfactory
proof that the person meets the requirements for an exemption from the
provisions of this chapter; and

(b) The fee required to renew the certificate of
exemption.

4. If the person fails to submit any item required
pursuant to subsection 3 to the commissioner on or before December 31 of any
year, the certificate of exemption is canceled. Except as otherwise provided in
NRS 645B.016, the commissioner may reinstate a canceled certificate of exemption
if the person submits to the commissioner:

(a) An application for renewal that includes satisfactory
proof that the person meets the requirements for an exemption from the
provisions of this chapter;

(b) The fee required to renew the certificate of
exemption; and

(c) [A]Except as otherwise provided in this section, a reinstatement
fee of $100.

5. [A]Except as otherwise provided in this section, a person
must pay the following fees to apply for, to be issued or to renew a license as
a mortgage broker pursuant to this chapter:

(a) To file an original application or a license, $1,500
for the principal office and $40 for each branch office. The person must also
pay such additional expenses incurred in the process of investigation as the
commissioner deems necessary. All money received by the commissioner pursuant
to this paragraph must be placed in the investigative account created by NRS
232.545.

(b) To be issued a license, $1,000 for the principal
office and $60 for each branch office.

(c) To renew a license, $500 for the principal office and
$100 for each branch office.

6. [A]Except as otherwise provided in this section, a person
must pay the following fees to apply for or to renew a certificate of exemption
pursuant to this chapter:

(a) To file an application for a certificate of
exemption, $200.

(b) To renew a certificate of exemption, $100.

7. To be issued a duplicate copy of any license or
certificate of exemption, a person must make a satisfactory showing of its loss
and pay a fee of $10.

8. Except as otherwise provided in this chapter, all
fees received pursuant to this chapter must be deposited in the state treasury
for credit to the state general fund.

9. The commissioner may, by regulation,
increase any fee set forth in this section if the commissioner determines that
such an increase is necessary for the commissioner to carry out his duties
pursuant to this chapter. The amount of any increase in a fee pursuant to this
subsection must not exceed the amount determined to be necessary for the
commissioner to carry out his duties pursuant to this chapter.

645B.060 1. Subject to the administrative control of
the director of the department of business and industry, the commissioner shall
exercise general supervision and control over mortgage brokers doing business
in this state.

2. In addition to the other duties imposed upon him by
law, the commissioner shall:

(a) Adopt any
regulations [prescribing standards for determining whether a mortgage
broker has maintained adequate supervision of a mortgage agent pursuant to this
chapter.

(b) Adopt any
other regulations] that are necessary to carry out the
provisions of this chapter, except as to loan brokerage fees.

[(c)] (b) Conduct such investigations as may be
necessary to determine whether any person has violated any provision of this
chapter, a regulation adopted pursuant to this chapter or an order of the
commissioner.

[(d)] (c) Conduct an annual examination of each
mortgage broker doing business in this state.

[(e)] The annual examination must include, without limitation, a
formal exit review with the mortgage broker. The commissioner shall adopt
regulations prescribing:

(1) Standards
for determining the rating of each mortgage broker based upon the results of
the annual examination; and

(2) Procedures
for resolving any objections made by the mortgage broker to the results of the
annual examination. The results of the annual examination may not be opened to
public inspection pursuant to NRS 645B.090 until any objections made by the
mortgage broker have been decided by the commissioner.

(d)
Conduct such other examinations, periodic or special audits, investigations and
hearings as may be necessary and proper for the efficient administration of the
laws of this state regarding mortgage brokers and mortgage agents. The
commissioner shall adopt regulations specifying the general guidelines that
will be followed when a periodic or special audit of a mortgage broker is
conducted pursuant to this chapter.

[(f)] (e) Classify as confidential certain records
and information obtained by the division when those matters are obtained from a
governmental agency upon the express condition that they remain confidential.
This paragraph does not limit examination by the legislative auditor.

[(g)] (f) Conduct such examinations and
investigations as are necessary to ensure that mortgage brokers meet the
requirements of this chapter for obtaining a license, both at the time of the
application for a license and thereafter on a continuing basis.

3. For each special audit, investigation or examination,
a mortgage broker shall pay a fee based on the rate established pursuant to NRS
658.101.

Sec. 9. NRS 645B.085 is hereby amended to read
as follows:

645B.085 1. Except as otherwise provided in this
section, not later than [60]90 days after the last day of each fiscal year
for a mortgage broker, the mortgage broker shall submit to the commissioner a
financial statement that:

(a) Is dated not earlier than the last day of the fiscal
year; and

(b) Has been prepared from the books and records of the
mortgage broker by an independent public accountant who holds a permit to
engage in the practice of public accounting in this state that has not been
revoked or suspended.

2. The commissioner may grant a reasonable extension for
the submission of a financial statement pursuant to this section if a mortgage
broker requests such an extension before the date on which the financial
statement is due.

3. If a mortgage broker maintains any accounts described
in subsection 1 of NRS 645B.175, the financial statement submitted pursuant to
this section must be audited. If a mortgage broker maintains any accounts
described in subsection 4 of NRS 645B.175, those accounts must be audited. The
public accountant who prepares the report of an audit shall submit a copy of
the report to the commissioner at the same time that he submits the report to
the mortgage broker.

645B.185 1. A mortgage broker or mortgage agent shall
not accept money from [an]a private investor to acquire ownership of or
a beneficial interest in a loan secured by a lien on real property unless:

(a) The private
investor and the mortgage broker or mortgage agent sign and date
a disclosure form that complies with the provisions of this section; and

(b) The mortgage broker or mortgage agent gives the private investor the
original disclosure form that has been signed and dated.

2. [An]A private investor and a mortgage broker or
mortgage agent must sign and date a separate disclosure form pursuant to
subsection 1 for each loan in which the private investor invests his money. A mortgage
broker or mortgage agent shall not act as the attorney in fact or the agent of [an]a private investor
with respect to the signing or dating of any disclosure form.

3. In addition to the requirements of subsections 1 and
2, a mortgage broker or mortgage agent shall not accept money from [an]a private investor
to acquire ownership of or a beneficial interest in a loan secured by a lien on
real property, unless the mortgage broker or mortgage agent gives the private investor a written
form by which the private investor
may request that the mortgage broker authorize the commissioner to release the
mortgage brokers financial statement to the private investor. Such a form must be given to
the private investor
for each loan. If the private investor,
before giving money to the mortgage broker for the loan, requests that the
mortgage broker authorize the release of a financial statement pursuant to this
subsection, the mortgage broker and his mortgage agents shall not accept money
from the private investor
for that loan until the mortgage broker receives notice from the commissioner
that the financial statement has been released to the private investor.

4. [An]A private investor and a mortgage broker or
mortgage agent may not agree to alter or waive the provisions of this section
by contract or other agreement. Any such contract or agreement is void and must
not be given effect to the extent that it violates the provisions of this
section.

5. A mortgage broker shall retain a copy of each
disclosure form that is signed and dated pursuant to subsection 1 for the
period that is prescribed in the regulations adopted by the commissioner.

6. The standard provisions for each such disclosure form
must include, without limitation, statements:

(a) Explaining the risks of investing through the
mortgage broker, including, without limitation:

(1) The possibility that the debtor may default on
the loan;

(2) The nature of the losses that may result through
foreclosure;

(3) The fact that payments of principal and interest
are not guaranteed and that the private
investor may lose the entire amount of principal that he has
invested;

(4) The fact that the mortgage broker is not a
depository financial institution and that the investment is not insured by any
depository insurance and is not otherwise insured or guaranteed by the federal
or state government; and

(5) Any other information required pursuant to the
regulations adopted by the commissioner; and

(b) Disclosing to the private investor the following information if
the information is known or, in light of all the surrounding facts and
circumstances, reasonably should be known to the mortgage broker:

(1) Whether the real property that will secure the
loan is encumbered by any other liens and, if so, the priority of each such
lien, the amount of debt secured by each such lien and the current status of
that debt, including, without limitation, whether the debt is being paid or is
in default;

(2) Whether the mortgage broker or any general
partner, officer, director or mortgage agent of the mortgage broker has any
direct or indirect interest in the debtor;

(3) Whether any disciplinary action has been taken
by the commissioner against the mortgage broker or any general partner, officer
or director of the mortgage broker within the immediately preceding 12 months, and the
nature of any such disciplinary action;

(4) Whether the mortgage broker or any general
partner, officer or director of the mortgage broker has been convicted within
the immediately preceding
12 months for violating any law, ordinance or regulation that involves fraud,
misrepresentation or a deceitful, fraudulent or dishonest business practice;
and

(5) Any other information required pursuant to the
regulations adopted by the commissioner.

7. Whether or not a mortgage broker is required to
disclose any information to private
investors through a disclosure form that complies with the
provisions of this section, the commissioner may order the mortgage broker to
disclose to private investors and
other investors or to the general public any information
concerning the mortgage broker, any general partner, officer, director or
mortgage agent of the mortgage broker or any loan in which the mortgage broker
is or has been involved, if the commissioner, in his judgment, believes that
the information:

(a) Would be of material interest to a reasonable
investor who is deciding whether to invest money with the mortgage broker; or

(b) Is necessary to protect the welfare of the public.

8. In carrying out the provisions of subsection 7, the
commissioner may, without limitation, order a mortgage broker to include
statements of disclosure prescribed by the commissioner:

(a) In the disclosure form that must be given to private investors pursuant
to subsection 1;

(b) In additional disclosure forms that must be given to private investors and other investors
before or after they have invested money through the mortgage broker; or

(c) In any advertisement that the mortgage broker uses in
carrying on his business.

9. The commissioner:

(a) Shall adopt regulations prescribing the period for
which a mortgage broker must retain a copy of each disclosure form that is
given to private investors;
and

(b) May adopt any other regulations that are necessary to
carry out the provisions of this section, including, without limitation,
regulations specifying the size of print and any required formatting or typesetting
that a mortgage broker must use in any form that is given to private investors.

Sec. 11. NRS 645B.189 is hereby amended to read
as follows:

645B.189 1. [Each]If, in carrying on his business, a
mortgage broker uses an advertisement that is designed, intended or reasonably
likely to solicit money from private investors, the mortgage
broker shall include in each such advertisement
[that the mortgage broker uses in carrying on his business:

(a) A]a statement of
disclosure in substantially the following form:

Money invested through a mortgage broker is not guaranteed to
earn any interest or return and is not insured.

[(b) Any other]

2. A
mortgage broker shall include in each advertisement that the mortgage broker
uses in carrying on his business any statements of disclosure
required pursuant to the regulations adopted by the commissioner or required
pursuant to an order of the commissioner entered in accordance with subsections
7 and 8 of NRS 645B.185.

[2.] 3. Each mortgage broker shall submit any
proposed advertisement that the mortgage broker intends to use in carrying on
his business to the commissioner for approval.

[3.] 4. In addition to the requirements set forth
in this chapter, each advertisement that a mortgage broker uses in carrying on
his business must comply with the requirements of:

(b) Any applicable federal statute or regulation
concerning deceptive advertising and the advertising of interest rates.

[4.] 5. If a mortgage broker violates any
provision of NRS 598.0903 to 598.0999, inclusive, concerning deceptive trade
practices or any federal statute or regulation concerning deceptive advertising
or the advertising of interest rates, in addition to any sanction or penalty
imposed by state or federal law upon the mortgage broker for the violation, the
commissioner may take any disciplinary action set forth in subsection 2 of NRS
645B.670 against the mortgage broker.

[5.] 6. The commissioner may adopt any
regulations that are necessary to carry out the provisions of this section.

645B.330 1. A mortgage broker or mortgage agent shall
not engage in any act or transaction on behalf of [an]a private investor
pursuant to a power of attorney unless:

(a) The power of attorney is executed for the sole
purpose of providing services for [loans]not more than one specific loan in
which the private investor
owns a beneficial interest; and

(b) The provisions of the power of attorney:

(1) Have been approved by the commissioner;

(2) Expressly prohibit the mortgage broker and his
mortgage agents from engaging in any act or transaction that subordinates the
priority of a recorded deed of trust unless, before such an act or transaction,
the mortgage broker obtains written approval for the subordination from the private investor;

(3) Expressly prohibit the mortgage broker and his
mortgage agents from using or releasing any money in which the private investor owns a
beneficial interest with regard to [a]the specific loan for a
purpose that is not directly related to providing services for the loan unless,
before any such money is used or released for another purpose, the mortgage
broker obtains written approval from the private investor to use or release the money
for the other purpose; and

(4) Expressly provide that the power of attorney is
effective only for [a
period of not more than 6 months unless, before the date on which the period
expires, the mortgage broker obtains written approval from the investor to
extend the power of attorney for an additional period of not more than 6
months. The mortgage broker may, on a continuing basis, obtain written approval
from the investor to extend the power of attorney for one or more consecutive
periods of not more than 6 months each, except that the investor may execute
only one written approval for an extension during each such 6-month period.] the term of the specific loan unless
the mortgage broker obtains written approval from the private investor to
extend the term of the power of attorney to provide services for not more than
one other loan and the written approval:

(I)
Identifies the loan for which the power of attorney was executed; and

(II)
Identifies the loan for which the written approval is being given.

2. A mortgage broker or mortgage agent shall not act as
the attorney in fact or the agent of [an]a private investor with
respect to the giving of written approval pursuant to paragraph (b) of
subsection 1. [An]A private investor and a mortgage broker or
mortgage agent may not agree to alter or waive the provisions of this section
by contract or other agreement. Any such contract or agreement is void and must
not be given effect to the extent that it violates the provisions of this
section.

3. [A]Except as otherwise provided in subsection 4, a power
of attorney which designates a mortgage broker or mortgage agent as the
attorney in fact or the agent of [an]a private investor and
which violates the provisions of this section is void and must not be given
effect with regard to any act or transaction that occurs on or after October 1,
1999, whether or not the power of attorney is or has been executed by the private investor before,
on or after October 1, 1999.

4. The
provisions of subsection 3 do not apply to a power of attorney that designates
a mortgage broker or mortgage agent as the attorney in fact or the agent of a
private investor if the power of attorney:

(a) Was
executed before July 1, 2001; and

(b) Complied
with the provisions of this section that were in effect on October 1, 1999.

5. The
provisions of this section do not limit the right of [an]a private investor to
include provisions in a power of attorney that are more restrictive than the
provisions set forth in subsection 1.

Sec. 13. NRS 645B.450 is hereby amended to read
as follows:

645B.450 1. A person shall not act as or provide any of
the services of a mortgage agent or otherwise engage in, carry on or hold
himself out as engaging in or carrying on the activities of a mortgage agent if
the person:

(a) Has been convicted of, or entered a plea of nolo
contendere to, a felony or any crime involving fraud, misrepresentation or
moral turpitude; or

(b) Has had a financial services license or registration
suspended or revoked within the immediately preceding 10 years.

2. A mortgage agent may not be associated with or
employed by more than one mortgage broker at the same time.

3. A mortgage broker shall register with the division
each person who will be associated with or employed by the mortgage broker as a
mortgage agent. A mortgage broker
shall register each such person with the division when the person begins his
association or employment with the mortgage broker and annually thereafter. A
registration expires 12 months after its effective date.

4. To
register a person as a mortgage agent, a mortgage broker must:

(a) Submit to the division a registration form which is
provided by the division and which:

(1) States the name, residence address and business
address of the person;

(2) Is signed by the person;

(3) Includes a provision by which the person gives
his written consent to an investigation of his credit history, criminal history
and background; and

(4) Includes any other information or supporting
materials required by the regulations adopted by the commissioner. Such
information or supporting materials may include, without limitation, a complete
set of fingerprints from the person, the social security number of the person
and other forms of identification of the person .[; and

(b) Pay]

(b) For each
initial registration, pay the actual costs and expenses incurred
by the division to investigate the credit history, criminal history and
background of the person. All money received pursuant to this paragraph must be
placed in the investigative account created by NRS 232.545.

[4.](c) For each annual registration, submit to the division
satisfactory proof that the person attended at least 5 hours of certified
courses of continuing education during the 12 months immediately preceding the
date on which the registration expires.

5. Not
later than the date on which the mortgage broker submits the information for
annual registration required by subsection 4, the person being registered shall
pay an annual registration fee of $125. If the person does not pay the annual
registration fee, the person shall be deemed to be unregistered for the
purposes of this chapter.

6.
A mortgage broker shall not employ a person as a mortgage agent or authorize a
person to be associated with the mortgage broker as a mortgage agent if the
mortgage broker has not registered the person with the division pursuant to [subsection
3]this
section or if the person:

(a) Has been convicted of, or entered a plea of nolo
contendere to, a felony or any crime involving fraud, misrepresentation or
moral turpitude; or

(b) Has had a financial services license or registration
suspended or revoked within the immediately preceding 10 years.

[5.] 7. If a mortgage agent terminates his
association or employment with a mortgage broker for any reason, the mortgage
broker shall, not later than the [end of the next]third business day
following the date of termination:

(a) Deliver to the mortgage agent or send by certified
mail to the last known residence address of the mortgage agent a written
statement which advises him that his termination is being reported to the
division; and

(b) Deliver or send by certified mail to the division:

(1) A written statement of the circumstances
surrounding the termination; and

(2) A copy of the written statement that the
mortgage broker delivers or mails to the mortgage agent pursuant to paragraph
(a).

8. As used in
this section, certified course of continuing education has the meaning
ascribed to it in section 4 of this act.

Sec. 14. NRS 645B.460 is hereby amended to read
as follows:

645B.460 1.
A mortgage broker shall[:

1. Teach his
mortgage agents the fundamentals of mortgage lending and the ethics of the
profession; and

2. Supervise]exercise reasonable supervision over the
activities of his mortgage agents
.[and the operation of his business.] Such reasonable supervision must
include, as appropriate:

(a) The
establishment of written or oral policies and procedures for his mortgage
agents; and

(b) The
establishment of a system to review, oversee and inspect the activities of his
mortgage agents, including, without limitation:

(1) Transactions
handled by his mortgage agents pursuant to this chapter;

(2) Communications
between his mortgage agents and a party to such a transaction;

(3) Documents
prepared by his mortgage agents that may have a material effect upon the rights
or obligations of a party to such a transaction; and

(4) The
handling by his mortgage agents of any fee, deposit or money paid to the
mortgage broker or his mortgage agents or held in trust by the mortgage broker
or his mortgage agents pursuant to this chapter.

2. The
commissioner shall allow a mortgage broker to take into consideration the total
number of mortgage agents associated with or employed by the mortgage broker
when the mortgage broker determines the form and extent of the policies and
procedures for those mortgage agents and the system to review, oversee and
inspect the activities of those mortgage agents.

3. The
commissioner may adopt regulations prescribing standards for determining
whether a mortgage broker has exercised reasonable supervision over the
activities of a mortgage agent pursuant to this section.

645B.600 1. A person may[, in accordance with the
regulations adopted pursuant to subsection 2,] file with the commissioner a
complaint [with the commissioner,] alleging that
another person has violated a provision of this chapter, a regulation adopted
pursuant to this chapter or an order of the commissioner.

2. [The commissioner shall adopt regulations prescribing:

(a) The form
that such a complaint must take;

(b) The
information that must be included in such a complaint; and

(c) The
procedures that a person must follow to file such a complaint.]A complaint filed pursuant to this
section must:

(a) Be in writing;

(b) Be signed by the person filing the complaint or the
authorized representative of the person filing the complaint;

(c) Contain an address and a telephone number for the
person filing the complaint or the authorized representative of the person
filing the complaint;

(d) Describe the nature of the alleged violation in as
much detail as possible;

(e) Include as exhibits copies of all documentation
supporting the complaint; and

(f) Include any other information or supporting
materials required by the regulations adopted by the commissioner or by an
order of the commissioner.

Sec. 16. NRS 645B.670 is hereby amended to read
as follows:

645B.670 Except as otherwise provided in NRS 645B.690:

1. For each violation committed by an applicant, whether
or not he is issued a license, the commissioner may impose upon the applicant
an administrative fine of not more than $10,000, if the applicant:

(a) Has knowingly made or caused to be made to the
commissioner any false representation of material fact;

(b) Has suppressed or withheld from the commissioner any
information which the applicant possesses and which, if submitted by him, would
have rendered the applicant ineligible to be licensed pursuant to the
provisions of this chapter; or

(c) Has violated any provision of this chapter, a
regulation adopted pursuant to this chapter or an order of the commissioner in
completing and filing his application for a license or during the course of the
investigation of his application for a license.

2. For each violation committed by a licensee, the
commissioner may impose upon the licensee an administrative fine of not more
than $10,000, may suspend, revoke or place conditions upon his license, or may
do both, if the licensee, whether or not acting as such:

(a) Is insolvent;

(b) Is grossly negligent or incompetent in performing any
act for which he is required to be licensed pursuant to the provisions of this
chapter;

(c) Does not conduct his business in accordance with law
or has violated any provision of this chapter, a regulation adopted pursuant to
this chapter or an order of the commissioner;

(d) Is in such financial condition that he cannot
continue in business with safety to his customers;

(e) Has made a material misrepresentation in connection
with any transaction governed by this chapter;

(f) Has suppressed or withheld from a client any material
facts, data or other information relating to any transaction governed by the
provisions of this chapter which the licensee knew or, by the exercise of
reasonable diligence, should have known;

(g) Has knowingly made or caused to be made to the
commissioner any false representation of material fact or has suppressed or
withheld from the commissioner any information which the licensee possesses and
which, if submitted by him, would have rendered the licensee ineligible to be
licensed pursuant to the provisions of this chapter;

(h) Has failed to account to persons interested for all
money received for a trust account;

(i) Has refused to permit an examination by the
commissioner of his books and affairs or has refused or failed, within a
reasonable time, to furnish any information or make any report that may be
required by the commissioner pursuant to the provisions of this chapter or a
regulation adopted pursuant to this chapter;

(j) Has been convicted of, or entered a plea of nolo
contendere to, a felony or any crime involving fraud, misrepresentation or
moral turpitude;

(k) Has refused or failed to pay, within a reasonable
time, any fees, assessments, costs or expenses that the licensee is required to
pay pursuant to this chapter or a regulation adopted pursuant to this chapter;

(l) Has failed to satisfy a claim made by a client which
has been reduced to judgment;

(m) Has failed to account for or to remit any money of a
client within a reasonable time after a request for an accounting or remittal;

(n) Has commingled the money or other property of a
client with his own or has converted the money or property of others to his own
use;

(o) Has engaged in any other conduct constituting a
deceitful, fraudulent or dishonest business practice;

(p) Has repeatedly violated the policies and procedures
of the mortgage broker;

(q) Has failed to [maintain adequate]exercise reasonable supervision
over the activities of
a mortgage agent [;] as required by NRS 645B.460;

(r) Has instructed a mortgage agent to commit an act that
would be cause for the revocation of the license of the mortgage broker,
whether or not the mortgage agent commits the act;

(s) Has employed a person as a mortgage agent or
authorized a person to be associated with the licensee as a mortgage agent at a
time when the licensee knew or, in light of all the surrounding facts and
circumstances, reasonably should have known that the person:

(1) Had been convicted of, or entered a plea of nolo
contendere to, a felony or any crime involving fraud, misrepresentation or
moral turpitude; or

(2) Had a financial services license or registration
suspended or revoked within the immediately preceding 10 years; or

(t) Has not conducted verifiable business as a mortgage
broker for 12 consecutive months, except in the case of a new applicant. The
commissioner shall determine whether a mortgage broker is conducting business
by examining the monthly reports of activity submitted by the licensee or by
conducting an examination of the licensee.

645B.700 1. Except as otherwise provided in subsection
2, for each violation that may be committed by a person pursuant to this
chapter or the regulations adopted pursuant to this chapter, the commissioner [shall]may adopt
regulations:

(a) Categorizing the violation as a major violation or a
minor violation; and

(b) Specifying the disciplinary action that will be taken
by the commissioner pursuant to this chapter against a person who commits:

(1) A major violation. The disciplinary action taken
by the commissioner for a major violation [must]may include, without
limitation, suspension or revocation of the persons license.

(2) More than two minor violations. The commissioner
may establish graduated sanctions for a person who commits more than two minor
violations based upon the number, the frequency and the severity of the minor
violations and whether the person previously has committed any major
violations.

2. The provisions of this section do not apply to a
violation for which the commissioner is required to take disciplinary action in
accordance with NRS 645B.690.

Sec. 18.Section 139 of chapter 646, Statutes
of Nevada 1999, at page 3816, is hereby amended to read as follows:

Sec. 139. 1.
This section and section 130.5 of this act become effective upon passage and
approval for the purpose of adopting any regulations necessary to carry out the
provisions of this act, and on September 30, 1999, for all other purposes.

2. Sections
1 to 101, inclusive, 103, 105 to 117, inclusive, 119 to 130, inclusive, and 131
to 138, inclusive, of this act become effective upon passage and approval for
the purpose of adopting any regulations necessary to carry out the provisions
of this act, and on October 1, 1999, for all other purposes.

3. Sections
102, 104 and 118 of this act become effective upon passage and approval for the
purpose of adopting any regulations necessary to carry out the provisions of
this act, and at 12:01 a.m. on October 1, 1999, for all other purposes.

4. Sections
15 and 33 of this act expire by limitation on the date on which the provisions
of 42 U.S.C. § 666 requiring each state to establish procedures under which the
state has authority to withhold or suspend, or to restrict the use of
professional, occupational and recreational licenses of persons who:

(a) Have
failed to comply with a subpoena or warrant relating to a procedure to
determine the paternity of a child or to establish or enforce an obligation for
the support of a child; or

(b) Are in
arrears in the payment for the support of one or more children,

are repealed by
the Congress of the United States.

[5. Section 78.5 of this
act expires by limitation on October 1, 2001.]

AN ACT relating to local financial administration;
modifying the list of separate items that a local government is required to
include in a supplemental budgetary report of expenses relating to activities
designed to influence the passage or defeat of legislation; providing that the
budget of a local government must include a separate statement detailing such
anticipated expenses; and providing other matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. NRS 354.59803 is hereby amended to
read as follows:

354.59803 1. In each year in which the legislature
convenes, a local government which expends more than $6,000 on activities
designed to influence the passage or defeat of any legislation shall file with
the department of taxation within 30 days after the close of the legislative
session a report supplemental to its final budget which includes separate items
for expenses relating to that activity, including [:] , without limitation:

(a) Transportation.

(b) The amount
of money spent on:

(1) The
lodging and meals of its officers, lobbyists [or employees.] and employees;

(2) The
salary or wages paid to its officers and employees; and

(3) Compensation
paid to any lobbyists, to the extent that such information does not duplicate
the information required pursuant to subparagraphs (1) and (2).

(c) The amount of money spent on entertainment, gifts or
other expenses which are required to be reported pursuant to NRS 218.900 to
218.944, inclusive.

(d) The amount of money spent in Carson City on supplies,
equipment[,
facilities,]and
facilities and other personnel and services needed to support the
activity.

(e) An identification of the fund, account or other
source against which the expenses were charged.

2. The local government shall make a copy of the
supplemental report available for inspection within 30 days after the close of
the legislative session.

Sec. 2. NRS 354.600 is hereby amended to read as
follows:

354.600 Each budget must include:

1. Detailed estimates of budget resources for the budget
year classified by funds and sources in a manner and on forms prescribed by the
department of taxation.

2. Detailed estimates of expenditures for the budget
year classified in a manner and on forms prescribed by the department of
taxation.

3. A separate statement of the anticipated expense,
including personnel, for the operation and maintenance of each capital
improvement to be constructed during the budget year and of each capital
improvement constructed on or after July 1, 1998, which is to be used during
that or a future budget year.

4. A separate statement of the proposed source of funding
for the operation and maintenance of each capital improvement, including
personnel, to be constructed during that budget year.

5. A separate
statement of the anticipated expenses relating to activities designed to
influence the passage or defeat of any legislation, setting forth each separate
category of expenditure that is required to be included in a supplemental
report pursuant to subsection 1 of NRS 354.59803.

________

CHAPTER 513, AB 567

Assembly
Bill No. 567Committee on Government Affairs

CHAPTER 513

AN ACT relating to state financial administration;
authorizing the purchase of property by a state agency pursuant to a
lease-purchase or installment-purchase agreement that extends beyond the
current biennium under certain circumstances; allowing the interest on certain
state securities to be paid more frequently than semiannually; providing the
manner for applying sales and use taxes to personal property transferred to the
state pursuant to certain lease-purchase or installment-purchase agreements;
authorizing the issuance of general obligation bonds to refinance existing
obligations relating to the Southern Nevada Womens Correctional Facility; and
providing other matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. Chapter 349 of NRS is hereby amended
by adding thereto the provisions set forth as sections 2 to 16, inclusive, of
this act.

Sec. 2. (Deleted by amendment.)

Sec. 3. As
used in sections 2 to 16, inclusive, of this act, unless the context otherwise
requires, the words and terms defined in sections 4 to 7, inclusive, of this
act have the meanings ascribed to them in those sections.

Sec. 4. Agreement
means an agreement to purchase property, in the form of a lease or an agreement
to pay in installments, pursuant to which the State of Nevada or a state agency
may pay the purchase price of real or personal property over a period of time
which extends beyond the biennium in which the agreement is executed,
including, without limitation:

1. An agreement
pursuant to which the State of Nevada or a state agency may acquire the
property that is the subject of the agreement at the end of the term of the
agreement or the end of the term of a renewal of the agreement upon payment of
no additional consideration or nominal additional consideration; and

2. An agreement
that, for the purposes of federal income tax, is treated as an agreement for
conditional sale.

Sec. 6. Chief
means the chief of the budget division of the department of administration.

Sec. 7. State
agency means an agency, bureau, board, commission, department, division or any
other unit of the government of this state that is required to submit
information to the chief pursuant to subsection 1 or 6 of NRS 353.210, except
for the University and Community College System of Nevada.

Sec. 8. 1.
The provisions of sections 2 to 16, inclusive, of this act do not obligate the
legislature to appropriate money for payments due pursuant to an agreement
entered into pursuant to those sections.

2. A state
agency, person acting on behalf of a state agency, officer of this state or
employee of this state shall not represent that the legislature is obligated to
appropriate money for payments due pursuant to an agreement entered into
pursuant to sections 2 to 16, inclusive, of this act.

Sec. 9. The
state treasurer may take such actions as he deems appropriate to facilitate an
agreement pursuant to sections 2 to 16, inclusive, of this act, including,
without limitation:

1. Entering into
contracts for relevant professional services;

2. Obtaining
credit enhancement and interest rate hedges; and

3. Assisting
with the offering of certificates of participation pursuant to the limitations
set forth in section 11 of this act.

Sec. 10. An
agreement entered into pursuant to sections 2 to 16, inclusive, of this act is
not subject to any requirement of competitive bidding or other restriction
imposed on the procedure for the awarding of contracts.

Sec. 11. 1.
A state agency may propose a project to acquire real property, an interest in
real property or an improvement to real property through an agreement which has
a term, including the terms of any options for renewal, that extends beyond the
biennium in which the agreement is executed if the agreement:

(a) Provides that
all obligations of the State of Nevada and the state agency are extinguished by
the failure of the legislature to appropriate money for the ensuing fiscal year
for payments due pursuant to the agreement;

(b) Does not encumber
any property of the State of Nevada or the state agency except for the property
that is the subject of the agreement;

(c) Provides that
property of the State of Nevada and the state agency, except for the property
that is the subject of the agreement, must not be forfeited if:

(1) The
legislature fails to appropriate money for payments due pursuant to the
agreement; or

(2) The
State of Nevada or the state agency breaches the agreement;

(d) Prohibits
certificates of participation in the agreement; and

(e) For the
biennium in which it is executed, does not require payments that are greater
than the amount authorized for such payments pursuant to the applicable budget
of the state agency.

2. The
provisions of paragraph (d) of subsection 1 may be waived by the board, upon
the recommendation of the state treasurer, if the board determines that waiving
those provisions:

3. Before an
agreement proposed pursuant to subsection 1 may become effective:

(a) The proposed
project must be approved by the legislature by concurrent resolution or statute
or as part of the budget of the state agency, or by the interim finance
committee when the legislature is not in regular session;

(b) The agency
must submit the proposed agreement to the chief, the state treasurer and the
state land registrar for their review and transmittal to the board;

(c) The board
must approve the proposed agreement; and

(d) The governor
must execute the agreement.

Sec. 12. If
an agreement pursuant to sections 2 to 16, inclusive, of this act involves the
construction of an improvement, the construction may be conducted as specified
in the agreement without complying with the provisions of:

1. Any law
requiring competitive bidding; or

2. Chapter 341
of NRS.

Sec. 13. 1.
Except as otherwise provided in this section, if an agreement pursuant to
sections 2 to 16, inclusive, of this act involves an improvement to property
owned by the State of Nevada or the state agency, the state land registrar, in
consultation with the state treasurer and in conjunction with the agreement,
upon approval of the state board of examiners may enter into a lease of the
property to which the improvement will be made if the lease:

(a) Has a term of
35 years or less; and

(b) Provides for
rental payments that approximate the fair market rental of the property before
the improvement is made, as determined by the state land registrar in
consultation with the state treasurer at the time the lease is entered into,
which must be paid if the agreement terminates before the expiration of the
lease because the legislature fails to appropriate money for payments due
pursuant to the agreement.

2. A lease
entered into pursuant to this section may provide for nominal rental payments
to be paid pursuant to the lease before the agreement terminates.

3. Before the
state land registrar may enter into a lease pursuant to this section:

(a) The state
land registrar must submit the proposed lease to the chief and the state
treasurer for their review and transmittal to the board; and

(b) The board
must approve the lease.

Sec. 14. Immediately
after an agreement is executed pursuant to section 11 of this act, the state
agency on whose behalf the agreement was executed shall file with the chief and
the statetreasurer:

1. A fully
executed copy of the agreement; and

2. A schedule of
payments that indicates the principal and interest payments due throughout the
term of the agreement.

Sec. 15. While
an agreement entered into pursuant to sections 2 to 16, inclusive, of this act
is in effect, the property that is the subject of the agreement is exempt from
ad valorem property taxation by this state and its political subdivisions if:

1. An
improvement is being constructed on the property pursuant to the agreement; or

Sec. 16. While
an agreement entered into pursuant to sections 2 to 16, inclusive, of this act
is in effect, the property that is the subject of the agreement shall be deemed
to be the property of this state or the state agency for the purposes of
statutory limits on damages that may be awarded against this state, including,
without limitation, the limits in chapter 41 of NRS, with respect to any action
or claim, including a claim for civil damages, that arises from or is related
to the property and is brought by a person who is not a party to the agreement
if:

1. An
improvement is being constructed on the property pursuant to the agreement; or

2. This state or
a state agency is in possession of the property.

Sec. 17. NRS 349.276 is hereby amended to read as
follows:

349.276 1. As the commission may determine, any bonds
and other state securities issued hereunder, except as otherwise provided in
the constitution of the state, or in the State Securities Law, or in any act
supplemental thereto, must:

(a) Be of a convenient denomination or denominations;

(b) Be fully negotiable within the meaning of and for all
the purposes of the Uniform Commercial Code-Investment Securities;

(c) Mature at such a time or serially at such times in
regular numerical order at annual or other designated intervals in such amounts
as designated and fixed by the commission;

(d) Be made payable in lawful money of the United States,
at the office of the treasurer or any commercial bank or commercial banks
within or without or both within and without the state as may be provided by
the commission; and

(e) Be printed at such a place within or without this
state, as the commission may determine.

2. Any such bonds or other state securities must bear
interest at a rate or rates which do not exceed the limit provided in NRS
349.076. The interest must be made payable:

(a) If the security constitutes a debt subject to the
limitations stated in the first paragraph of section 3 of article 9 of the
constitution of this state, not
less often than semiannually.

(b) If the security does not constitute a debt or is
issued for the protection and preservation of the states property or natural
resources or for the purpose of obtaining the benefits thereof, at intervals
which the commission shall designate, and the first interest payment may be for
another period.

3. General obligation bonds must mature within 20 years
from their date or within 20 years from the date of passage of the act
authorizing their issuance or the issuance of any securities funded or refunded
thereby, whichever limitation is shorter; but any bonds constituting a debt
which is not subject to the limitations stated in the first paragraph of
section 3 of article 9 of the constitution of this state must mature within 50
years from their date.

4. Special obligation bonds must mature within 50 years
from their date.

Sec. 18. (Deleted by amendment.)

Sec. 19. Chapter 372 of NRS is hereby amended
by adding thereto a new section to read as follows:

In administering
the provisions of NRS 372.325, the department shall apply the exemption for the
sale of tangible personal property to the State of Nevada, its unincorporated
agencies and instrumentalities, to include all tangible personal property that is transferred for use by a
state entity in accordance with an agreement executed pursuant to sections 2 to
16, inclusive, of this act.

tangible personal
property that is transferred for use by a state entity in accordance with an
agreement executed pursuant to sections 2 to 16, inclusive, of this act.

Sec. 20. Chapter 374 of NRS is hereby amended by
adding thereto a new section to read as follows:

In administering
the provisions of NRS 374.330, the department shall apply the exemption for the
sale of tangible personal property to the State of Nevada, its unincorporated
agencies and instrumentalities, to include all tangible personal property that
is transferred for use by a state entity in accordance with an agreement
executed pursuant to sections 2 to 16, inclusive, of this act.

Sec. 21. 1.
In addition to the debt authorized in subsection 1 of section 4 of chapter 656,
Statutes of Nevada 1995, at page 2530, and notwithstanding the provisions of
subsection 2 of section 4 of chapter 656, Statutes of Nevada 1995, at page
2530, the state board of finance may issue general obligation bonds of the
State of Nevada in the face amount of not more than $27,971,319, the proceeds
of which must be used for refinancing the obligations of this state pursuant to
the construction, lease purchase and management services contract between the
department of prisons and Corrections Corporation of America that was approved
by the state board of examiners on October 14, 1996, and by the board of state
prison commissioners on October 14, 1996, and was authorized by section 4 of
chapter 656, Statutes of Nevada 1995, at page 2530, including, without
limitation, by exercising the prepayment purchase option pursuant to the
contract.

2. The expenses related to the issuance of bonds pursuant to
this section must be paid from the proceeds of the bonds, and must not exceed 2
percent of the face amount of the bonds sold.

3. The provisions of the State Securities Law, contained in
chapter 349 of NRS, apply to the issuance of bonds pursuant to this section.

Sec. 22. Assembly Bill No. 601 of this session is
hereby repealed.

Sec. 23. This act becomes effective upon passage and
approval.

________

CHAPTER 514, AB 660

Assembly
Bill No. 660Committee on Education

CHAPTER 514

AN ACT relating to educational personnel; prohibiting
under certain circumstances the boards of trustees of school districts from
requiring certain licensed employees on leave of absence from employment to
submit fingerprints as a condition of return to employment; and providing other
matters properly relating thereto.

[Approved: June 8, 2001]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. NRS 391.100 is hereby amended to
read as follows:

391.100 1. The board of trustees of a school district
may employ a superintendent of schools, teachers and all other necessary
employees.

(a) May employ teacher aides and other auxiliary,
nonprofessional personnel to assist licensed personnel in the instruction or
supervision of children, either in the classroom or at any other place in the
school or on the grounds thereof; and

3. Each applicant for employment pursuant to this
section, except a teacher or other person licensed by the superintendent of
public instruction, must, as a condition to employment, submit to the school
district a full set of his fingerprints and written permission authorizing the
school district to forward the fingerprints to the Federal Bureau of
Investigation and the central repository for Nevada records of criminal history
for their reports on the criminal history of the applicant.

4. Except
as otherwise provided in subsection 5, the board of trustees of a school
district shall not require a licensed teacher or other person licensed by the
superintendent of public instruction pursuant to NRS 391.033 who has taken a
leave of absence from employment authorized by the school district, including,
without limitation:

(a) Sick
leave;

(b) Sabbatical
leave;

(c) Personal
leave;

(d) Leave
for attendance at a regular or special session of the legislature of this state
if the employee is a member thereof;

to submit a set
of his fingerprints as a condition of return to or continued employment with
the school district if the employee is in good standing when the employee began
the leave.

5. A board of trustees of a school district may ask the
superintendent of public instruction to require a person licensed by the
superintendent of public instruction pursuant to NRS 391.033 who has taken a
leave of absence from employment authorized by the school district to submit a
set of his fingerprints as a condition of return to or continued employment
with the school district if the board of trustees has probable cause to believe
that the person has committed a felony or an offense involving moral turpitude
during the period of his leave of absence.

6. The
board of trustees of a school district may employ or appoint persons to serve
as school police officers. If the board of trustees of a school district
employs or appoints persons to serve as school police officers, the board of
trustees shall employ a law enforcement officer to serve as the chief of school
police who is supervised by the superintendent of schools of the school
district. The chief of school police shall supervise each person appointed or
employed by the board of trustees as a school police officer. In addition,
persons who provide police services pursuant to subsection [5 or 6]7 or 8 shall be
deemed school police officers.

[5.]7. The board of trustees of a school district
in a county that has a metropolitan police department created pursuant to
chapter 280 of NRS, may contract with the metropolitan police department for
the provision and supervision of police services in the public schools within
the jurisdiction of the metropolitan police department and on property therein
that is owned by the school district.

the school district. If a contract is entered into pursuant
to this subsection, the contract must make provision for the transfer of each
school police officer employed by the board of trustees to the metropolitan
police department. If the board of trustees of a school district contracts with
a metropolitan police department pursuant to this subsection, the board of
trustees shall, if applicable, cooperate with appropriate local law enforcement
agencies within the school district for the provision and supervision of police
services in the public schools within the school district and on property owned
by the school district ,
but outside the jurisdiction of the metropolitan police department.

[6.]8. The board of trustees of a school district
in a county that does not have a metropolitan police department created
pursuant to chapter 280 of NRS may contract with the sheriff of that county for
the provision of police services in the public schools within the school
district and on property therein that is owned by the school district.

Sec. 2. NRS 289.190 is hereby amended to read as
follows:

289.190 1. A person employed or appointed to serve as a
school police officer pursuant to subsection [4]6 of NRS 391.100 has the
powers of a peace officer.

2. A person appointed pursuant to NRS 393.0718 by the
board of trustees of any school district has the powers of a peace officer to
carry out the intents and purposes of NRS 393.071 to 393.0719, inclusive.

3. Members of every board of trustees of a school
district, superintendents of schools, principals and teachers have concurrent
power with peace officers for the protection of children in school and on the
way to and from school, and for the enforcement of order and discipline among
such children, including children who attend school within one school district
but reside in an adjoining school district or adjoining state, pursuant to the
provisions of chapter 392 of NRS. This subsection must not be construed so as
to make it the duty of superintendents of schools, principals and teachers to
supervise the conduct of children while not on the school property.